European markets closed today’s session in the mixed territory as investors reacted on the decision by ECB to keep its interest rate on hold. On Thursday, Stoxx Europe 600 index added 0.27% as most of the sectors closed today’s session in the green territory.
Following the strong Performance of auto’s sector in recent days, auto’s stocks continued its gains to reach its highest level as it added 0.44% during today’s session.
However, Ferrari’s stock was the worst performer in the sector after Morgan Stanley downgraded the firm’s ration to Underweight, Ferrari’s stock fell by 6.9%.
In economic news, ECB decided to keep its interest rate on hold and start shrinking its monetary stimulus on the month of October. Moreover, Euro economy is growing stronger than expected as its GDP rose by 2.3% in the second quarter of this year, higher than expectations of an increase by 2.1%.
FTSE 100 declined by 2.26% to settle down at 7,377.60 pressured by the losses in the Basic materials sector.
Moreover, the falling in the prices mining stocks have weighed on FTSE 100 as copper prices fell today, BHB Billiton, Antofagasta, and Anglo American all dropped today by more than 3%.
However, banks sectors gained today as the ECB President Mario Draghi announced on Thursday that the bank will start to cut its QE program in this autumn.
As the Credit Swiss notes, analyst upgraded the Burberry’s luxury goods group to outperform, Burberry stock gained 0.5% in today’s session.
DAX30 added 0.6% today to settle up at 12,303 supported by the gains in Basic Material Sector.
ThyssenKrupp's stock was the biggest gainer in the session on the back of news that, the firm’s shareholders are urging the group to merge its European steel business with Tata Steel Co, believing that if the company will not do so the company will lose its credibility.
CAC 40 edged lower by 0.2% at 5,113.49 as the losses generated by Technology sector have weighed on the stocks.
Due to the faster growth of imports than exports, French trade deficit increased in July reaching 5.97 billion Euros from 4.88 billion Euros in June.
The seasonally and working-day-adjusted current account deficit rose to 4.2 billion Euros in July from 2.4 billion Euros in the previous month.
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