Investing.com – European stocks traded with mixed signs on Wednesday as investors digested data on business activity.
Nearing midday trade in Europe, the benchmark Euro Stoxx 50 rose 0.17%, France’s CAC 40 gained 0.19% but Germany’s DAX 30 fell 0.26%.
Euro zone growth stayed near a six-year high in March as Germany and France accelerated, according to survey data released by ISH Markit on Wednesday.
The final reading of the euro zone composite purchasing managers’ index (PMI) for March rose to 56.4 in March, a 71-month high, although that was lower than an initial reading of 57.6.
Still, the research firm noted that “Eurozone output and new order growth accelerated to near six-year records in March, rounding off the best quarter for the currency union’s economy since the second quarter of 2011.”
In the U.K., service sector activity hit its highest growth this year in what was its eighth consecutive month of expansion, although IHS Markit noted that the British economy was on track for a marked slowdown in quarterly growth to 0.4% from the 0.7% expansion seen in the last three months of 2016.
Meanwhile, oil prices rallied to a four-week high in European trading on Wednesday, extending gains into a second session after data overnight showed a larger-than-expected drop in U.S. crude supplies.
After markets closed Tuesday, the American Petroleum Institute said that U.S. oil inventories fell by 1.83 million barrels in the week ended March 31, more than the expected draw of just 500,000 barrels.
The U.S. Energy Information Administration will release its official weekly oil supplies report at 10:30AM ET (14:30GMT) Wednesday. If the draw is confirmed, it would be the first decline after two consecutive builds.
Energy stocks traded broadly higher, as French oil and gas major Total SA (PA:TOTF) gained 1.38% and Italy’s ENI (MI:ENI) rose 0.59%, and Norwegian rival Statoil (OL:STL) traded up 1.15%.
Financial stocks also registered gains, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) rose 0.63% and 0.70%, respectively, while Germany’s Commerzbank (DE:CBKG) and rival Deutsche Bank (DE:DBKGn) rival advanced 1.68% and 0.38%, respectively.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) gained 0.48% and 1.36%, respectively, while Spanish banks Banco Santander (MC:SAN) and BBVA (MC:BBVA) traded up 1.32% and 1.11%, respectively.
In London, the commodity-heavy FTSE 100 rose 0.23% as mining stocks benefitted from higher copper prices.
Shares in Glencore (LON:GLEN) gained 0.97%, Anglo American (LON:AAL) advanced 1.45%, while BHP Billiton (LON:BLT) jumped 2.35% and Rio Tinto (LON:RIO) traded up 1.32%.
Energy stocks climbed, as BP (LON:BP) rose 1.27% and rival Royal Dutch Shell (LON:RDSa) gained 1.36%.
Financial stocks showed mixed trade, with shares in HSBC Holdings (LON:HSBA) up 0.52% while the Royal Bank of Scotland (LON:RBS) gained 0.25%, and Lloyds Banking (LON:LLOY) rose 0.30%. Barclays (LON:BARC), however, fell 0.55%.
In the U.S., futures pointed to a flat open. The Dow Jones Industrial Average futures inched up 0.04%, S&P 500 futures slipped 0.02%, while the Nasdaq 100 futures gave up 0.03%.