Investing.com - European stocks opened sharply lower on Friday, as markets were jittery ahead of the release of U.S. employment data due later in the day, depite upbeat Chinese manufacturing activity reports.
During European morning trade, the EURO STOXX 50 plunged 2.01%, France’s CAC 40 lost 1.75%, while Germany’s DAX 30 tumbled 1.78%.
European equities shrugged off data on Friday showing that manufacturing activity in China swung into expansion territory for the first time since August this month.
China’s official manufacturing purchasing managers’ index rose to 50.2 in March from 49.0 the previous month. Analysts had expected the index to tick up to 49.3 this month.
The Caixin manufacturing PMI rose to 49.7 in March from 48.0 in February, beating expectations for an increase to 48.2.
Investors were eyeing the release of U.S. nonfarm payrolls and unemployment data later Friday, for further indications on the strength of the job market.
Financial stocks were broadly lower, as French lenders Societe Generale (PA:SOGN) and BNP Paribas (PA:BNPP) dropped 0.52% and 1.65%, while Germany’s Commerzbank (DE:CBKG) and Deutsche Bank (DE:DBKGn) tumbled 1.95% and 1.57%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) lost 1.66% and 1.58% respectively, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) plummeted 1.80% and 1.37%.
On the upside, Thyssenkrupp AG (DE:TKAG) O.N. (SIX:TKAGEUR) saw shares surge 4.71% after analysts at HSBC gave the stock a €24.90 price target and maintained its “buy” rating.
In London, FTSE 100 lost 1.23%, as U.K. lenders tracked their European counterparts lower.
Shares in the Royal Bank of Scotland (LON:RBS) fell 0.27% and HSBC Holdings (LON:HSBA) slid 0.67%, while Lloyds Banking (LON:LLOY) dropped 0.72% and Barclays (LON:BARC) retreated 0.93%.
Meanwhile, mining stocks were mostly lower on the commodity-heavy index. Fresnillo (LON:FRES) slipped 0.26% and Anglo American (LON:AAL) dropped 0.62%, while Glencore (LON:GLEN) saw shares tumble 1.03%. Rio Tinto (LON:RIO) overperformed with shares up 0.45%
Elsewhere, InterContinental Hotels Group PLC (LON:IHG) plummeted 2.33% after rallying on Thursday following news its Holiday Inn unit owns and operates a new successful burger bar called Burger Theory, which can be found in some of its hotels in major cities.
In the U.S., equity markets pointed to a lower open. The Dow Jones Industrial Average futures pointed to a 0.38% slide, S&P 500 futures a 0.43% decline, while the Nasdaq 100 futures indicated a 0.61% drop.