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European stocks mixed, focus on Greece; DAX up 0.08%

Published 03/12/2012, 05:04 AM
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Investing.com - European stock markets were mixed on Monday, after strong U.S. employment data lowered expectations for more stimulus measures by the Federal Reserve and amid sustained concerns over Greece’s debt crisis.

During European morning trade, the EURO STOXX 50 edged up 0.02%, France’s CAC 40 declined 0.13%, while Germany’s DAX 30 added 0.08%.

The Department of Labor said the U.S. economy added 227,000 jobs in February after increasing by a revised 284,000 the previous month. The unemployment rate held steady at a three year low of 8.3%.

Meanwhile, sentiment remained under pressure after the International Swaps and Derivatives Association said Greece’s debt swap constituted a “credit event” that would activate credit-default swaps, which designed to protect investors against losses on Greek sovereign debt.

Financial stocks were mixed as shares in French lenders Societe Generale and BNP Paribas declined 0.53% and 0.43%, while Germany’s Deutsche Bank added 0.68%.

EADS, the European Aeronautic Defense and Space Company, saw shares retreat 1.10% after the World Trade Organization broadly upheld a ruling that Boeing benefited from billions of dollars of unfair subsidies, in part of the world's largest trade dispute that has already revealed significant European aid to Airbus.

On the upside, Swiss banking software company Temenos jumped 1.25% after saying earlier that its discussions about an all-share merger with Misys had been terminated after they failed to reach an agreement.

In London, commodity-heavy FTSE 100 fell 0.07%, weighed by losses in the mining sector.

Mining giants Rio Tinto and Bhp Billiton saw shares drop 0.83% and 0.58% respectively, while copper producer Xstrata lost 0.33%.

Glencore slipped 0.39% following reports that the company has expressed an interest in buying Viterra, Canada’s biggest grain handler.

Elsewhere, U.K. lenders were mixed. Shares in the Royal Bank of Scotland plunged 1.07% and Lloyds Banking edged down 0.06%, while HSBC Holdings and Barclays advanced 0.36% and 0.49%.

In the U.S., equity markets pointed to a lower open. The Dow Jones Industrial Average futures pointed to a fall of 0.11%, S&P 500 futures signaled a 0.19% decline, while the Nasdaq 100 futures indicated a 0.19% loss.

Later in the day, euro zone finance ministers were to hold talks in Brussels, to give their final approval to a EUR130 billion bailout for Greece.

Ministers were also likely to discuss Spain, after Prime Minister Mariano Rajoy announced earlier this month that the country would cut its public deficit to 5.8% of annual output, instead of the planned 4.4% this year.


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