European Stocks Close Slightly Higher

(RTTNews) - European stocks closed slightly higher on Friday, continued to benefit from recent data showing a stronger than expected U.S. GDP growth.

The U.S. economy saw a 2.9% expansion (year on year) in the fourth quarter, beating expectations.

Data released today showed the Fed's preferred inflation measure, the US core personal consumption expenditures price index, slowed to an over one-year low of 4.4% in December.

The mood was cautious with investors looking ahead to the interest rate decisions from the Federal Reserve, the European Central Bank and the Bank of England next week.

The pan European Stoxx 600 gained 0.26%. The U.K.'s FTSE 100, Germany's DAX and France's CAC 40 edged up 0.05%, 0.11% and 0.02%, respectively. Switzerland's SMI ended higher by 0.13%.

Among other markets in Europe, Austria, Czech Republic, Denmark, Greece, Iceland, Ireland, Netherlands, Norway, Russia, Spain and Sweden ended on a firm note.

Belgium and Finland edged up marginally. Portugal and Turkiye ended weak, while Poland settled flat.

In the UK market, Sainsbury (J) surged 5.5% after convenience store retailer Bestway Group said it had purchased or agreed to buy a 3.45% stake in the supermarket giant.

Persimmon gained about 2.6%, while Auto Trader Group, Unite Group, Segro, Airtel Africa, Ashtead Group and Burberry advanced 1.6 to 2.2%.

Rolls-Royce Holdings declined nearly 3%. Antofagasta drifted down 2.2%, while JD Sports Fashion, Flutter Entertainment, Diageo, Rio Tinto, Reckitt Benckiser, Fresnillo and Halma lost 1 to 1.7%.

In the German market, Fresenius Medical Care rallied 3.75%. Continental and HeidelbergCement both gained about 2.5%. Adidas, Infineon Technologies, Deutsche Bank, Fresenius, Puma, Deutsche Post, Covestro and Porsche gained 1.1 to 2.2%.

Sartorius ended 3.4% down. RWE, Hannover Rueck and Merck lost 1 to 1.6%.

In the French market, Societe Generale climbed nearly 4.5%. Alstom, Saint Gobain, STMicroElectronics and Kering gained 2 to 3%. Carrefour, WorldLine, Vivendi and Credit Agricole ended higher by 1 to 1.2%.

Airbus Group shares ended lower by about 3.6%. Pernod Ricard, Dassault Systemes, L'Oreal and Thales lost 1.4 to 2%.

In economic news, Eurozone M3 money supply growth eased more than expected in December and credit to the private sector grew at a slower rate, the European Central Bank said on Friday, suggesting that the interest rate hikes are starting to take effect on the real economy.

ECB data showed that the annual growth rate of credit to the private sector moderated to 4.2% in October from 4.4% in September. Similarly, the adjusted loans to the private sector rose 4.2% versus 5.1% in the prior month.