European Markets Cling To Small Gains In Lackluster Trade

(RTTNews) - The majority of the European markets managed to hold onto small gains Friday, but were little changed overall. Trading activity was relatively flat at the end of the week, with markets fluctuating back and forth between small gains and losses. Solid GDP data from Germany and some fresh M&A activity helped investors shrug off tepid corporate earnings and the unexpected dip in Eurozone industrial production.

The pan-European Stoxx Europe 600 index advanced 0.23 percent. The Euro Stoxx 50 index of eurozone bluechip stocks increased 0.37 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, added 0.50 percent.

The DAX of Germany climbed 0.47 percent and the CAC 40 of France rose 0.41 percent. The FTSE 100 of the U.K. gained 0.66 percent and the SMI of Switzerland finished higher by 0.65 percent.

In Frankfurt, Thyssenkrupp declined 3.84 percent. The industrial group expects negative free cash flow for 2017 as capital spending rises due to higher prices for raw materials at a time of increased sales.

In Paris, Vivendi jumped 4.68 percent. The media conglomerate has made an offer to buy the Bolloré Group's 60 percent stake in agency holding company Havas at a price of 9.25 euros per share.

In London, AstraZeneca soared 9.03 percent after announcing promising results from the trial of a cancer drug.

Richemont dropped 5.01 percent in Zurich. The luxury goods maker has warned of "volatility and uncertainty" after reporting a 46 percent slide in annual net profit.

ArcelorMittal sank 8.01 percent in Amsterdam, despite reporting first-quarter EBITDA that more than doubled from last year.

Eurozone industrial production dropped for a second straight month in March, defying expectations for a modest gain, as mild weather dampened energy output.

Industrial output slid unexpectedly by 0.1 percent month-on-month in March, the same pace of decline as seen in February, figures from Eurostat showed Friday. Production was forecast to climb 0.3 percent.

The German economy expanded the most in a year at the start of 2017 as global demand underpinned exports and investment advanced substantially.

Gross domestic product grew 0.6 percent sequentially, faster than the 0.4 percent expansion seen in the fourth quarter, provisional results published by Destatis showed Friday. This was the fastest growth since the first quarter of 2016, when GDP climbed 0.7 percent.

Germany's consumer price inflation accelerated as initially estimated in April, after easing in the previous month, latest figures from Destatis showed Friday. The consumer price index climbed 2.0 percent year-over-year in April, faster than the 1.6 percent rise in March. That was in line with the flash data published on April 27.

France's payroll employment in the non-farm sectors grew for an eighth successive quarter in the first three months of the year, albeit at a slower pace, preliminary data from the statistical office INSEE showed Friday.

Non-farm payroll employment grew 0.3 percent from the fourth quarter of 2016, when the figure rose 0.4 percent.

Retail sales in the U.S. increased by less than expected in the month of April, according to a report released by the Commerce Department on Friday. The Commerce Department said retail sales climbed by 0.4 percent in April compared to economist estimates for 0.6 percent growth.

After reporting an unexpected drop in U.S. consumer prices in the previous month, the Labor Department released a report on Friday showing that prices rebounded in the month of April. The Labor Department said its consumer price index rose by 0.2 percent in April after falling by 0.3 percent in March. The increase in prices matched economist estimates.

Consumer sentiment in the U.S. has seen a modest improvement in the month of May, according to a report released by the University of Michigan on Friday. The report said the preliminary reading on the consumer sentiment index for May came in at 97.7 compared to the final April reading of 97.0. Economists had expected the index to inch up to 97.3.

Reflecting a notable increase in retail inventories, the Commerce Department released a report on Friday showing that U.S. business inventories rose by slightly more than expected in the month of March. The report said business inventories edged up by 0.2 percent in March, matching the revised uptick seen in February.

Economists had expected inventories to inch up by 0.1 percent compared to the 0.3 percent increase originally reported for the previous month.