European stocks hit two-month lows on Friday amid fears of a slowing economic recovery.
Eurozone manufacturing growth weakened in September as producers report a growing toll from supply chain headwinds, IHS Markit noted.
The corresponding PMI dropped to 58.6 in September from 61.4 in August, posting the largest drop since April 2020.
The U.K.’s manufacturing sector also saw growth slowing last month on the back of surging material and staff shortages while German retail sales rebounded in August at a slower-than-expected pace.
Inflation worries persist with Eurozone inflation accelerating for the third straight month in September.
Inflation advanced to 3.4 percent in September from 3.0 percent in August, flash data from Eurostat showed. The rate was also above economists’ forecast of 3.3 percent.
The pan European Stoxx 600 dropped 0.8 percent to 451.38 after ending flat with a negative bias the previous day. The German DAX, France’s CAC 40 index and the U.K.’s FTSE 100 were down between 0.8 percent and 0.9 percent.
Dutch bank ING Group lost 2 percent after announcing a share buyback program with total value of 1.74 billion euros.
German automaker Daimler rose half a percent in volatile trade as shareholders vote on spinning off the sprawling truck division from the Mercedes-Benz luxury-car operations.
Leoni AG advanced 3.5 percent. The company said it will reach a binding agreement to sell the Business Group Leoni Industrial Solutions to BizLink Holding Inc.
Crédit Agricole S.A. shares were down 1.7 percent in Paris. The French lender confirmed that it is in talks with Holmarcom regarding a possible sale of its stake in Moroccan subsidiary, Crédit du Maroc.
Telecom major Orange SA dropped 1.2 percent. The company announced an investment of 230 million euros to strengthen the development of Orange Bank.
British electronics retailer AO World slumped 18 percent after warning of lower profit.
Fashion group Boohoo gave up 2 percent and JD Sports Fashion declined 2.3 percent.
Pub group JD Wetherspoon fell over 1 percent after widening its FY21 Loss.
Ocado Group shares rose about 1 percent. The online grocer said it has successfully priced an offering of 500 million pounds ($673.7 million) of senior notes.
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