Europe Stocks Slip; Investors Await Regional Manufacturing Data

(Bloomberg) — European stocks slipped from Friday’s record close as investors awaited manufacturing data from the region, the first reports in a week heavy with economic statistics. 
The Stoxx Europe 600 Index fell 0.4% to 523.14 at 8:17 a.m. in London. Basic resources dropped the most as the recent rebound in iron ore prices faltered amid pessimism over China’s economic prospects. Real estate gained after Morgan Stanley said the sector is now attractive and property portal Rightmove Plc got a takeover offer.
The European benchmark has rallied for the past four straight weeks, the longest streak since March, with investors growing increasingly confident that the European Central Bank will lower interest rates and that the global economy is continuing to grow. 
Manufacturing purchasing manager indexes are due from individual countries over the next hour. Investors also are looking ahead to unemployment data from the US on Friday. US markets are closed today for the Labor Day holiday.
“If we get a rise in rates as the market realizes that the employment picture is not as dire as feared, a rise in rates could still be positive for risky assets,” said Mohit Kumar, chief economist for Europe at Jefferies International. He also notes September seasonality kicking in with a likely increase in supply in government and corporate bonds.
Among single stocks, Rightmove soared 25% after REA Group Ltd., part of Rupert Murdoch’s sprawling empire, said it’s considering a takeover offer. Equinor ASA gained after saying it will downsize its renewables unit.  
For more on equity markets:
You want more news on this market? Click here for a curated First Word channel of actionable news from Bloomberg and select sources. It can be customized to your preferences by clicking into Actions on the toolbar or hitting the HELP key for assistance. To subscribe to a daily list of European analyst rating changes, click here.
More stories like this are available on bloomberg.com
©2024 Bloomberg L.P.