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European Stocks Drift Lower On Earnings, Chinese Data(Alliance News Via Acquire Media NewsEdge) VIENNA (Alliance News) - European stocks edged lower on Wednesday as investors took some profits off the table following the previous session's rally. Traders are also digesting a slew of earnings reports and data out of China, which showed that activity in the Chinese manufacturing sector contracted for a fourth straight month in April. Closer home, growth in the euro zone's private sector economy accelerated at its fastest pace in almost three years in April, survey data from Markit Economics showed. The composite output index rose unexpectedly to 54.0 from 53.1 in March. Meanwhile, the minutes of the Bank of England's most recent monetary policy committee meeting showed that the Committee's August 2013 policy guidance remains in place and no member thought it appropriate to tighten, or to loosen, the stance of monetary policy at the current juncture. The Euro Stoxx 50 index of eurozone bluechip stocks is moving down 0.3% and the Stoxx Europe 50 index, which includes some major UK companies, is down 0.2%. Around Europe, the key benchmark indexes in Germany, France and the UK are down between 0.2% and 0.4%. In stock-specific action, shares of Swedish mobile network equipment maker Ericsson are down nearly 5% after its sales and operating profit fell below expectations. Deutsche Bank is moving down 0.2% in Frankfurt on a Bloomberg report that the German lender is reducing its equities team in Latin America and considering closing its equities business in Chile as part of its efforts to cut costs. Barclays PLC. shares are rising 0.4%. The British lender may have to eliminate 7,500 jobs at its investment bank to improve returns at its securities unit, the Bloomberg said quoting a report by Sanford C. Bernstein. ARM Holdings PLC is tumbling 3.4%. The chip designer reported higher first-quarter profit, as revenues grew 10% on demand for its technology licensing. BP PLC. is declining 0.8%. The oil giant said it has agreed to sell interests in four BP-operated oilfields on the North Slope of Alaska to Hilcorp, a privately-held independent oil and natural gas exploration and production company. Dassault Systemes SA is losing 0.3% in Paris after the French software firm extended its public tender offer for all shares of US-based Accelrys Inc. to April 28. Elsewhere, the Asian markets pared early gains, as weak Chinese manufacturing data offset initial optimism over the outlook for the US economy. Trading in the US index futures point to a mixed opening as investors await new home sales data to gauge the health of the world's largest economy. Copyright RTT News/dpa-AFX |