European Stocks Recover From Early Weakness, Close On Mixed Note

(RTTNews) - European stocks closed on a mixed note on Monday, recovering well after a weak start and a subsequent fall to lower levels. The mood remained cautious with investors continuing to monitor the developments on the geopolitical front and assessing global economic situation.

Investors awaited the European Central Bank's monetary policy announcement due later in the week, and some crucial economic data from the European region and the U.S.

ECB policymakers are likely to hold interest rates unchanged when they gather in Athens on Thursday.

Bond yields dropped, aiding sentiment a bit.

The pan European Stoxx 600 edged down 0.13%. The U.K.'s FTSE 100 ended 0.37% down, while France'c CAC 40 gained 0.5% and Germany's DAX edged up 0.02%. Switzerland's SMI ended lower by 0.16%.

Among other markets in Europe, Austria, Belgium, Finland, Greece, Norway, Poland, Portugal, Russia, Spain and Sweden ended weak.

Denmark, Netherlands and Turkiye closed higher, while Iceland ended flat.

On the economic front, the German economy probably shrunk somewhat in the third quarter, the Bundesbank said in its monthly report. The central bank noted that weak foreign demand for industrial products was one of the factors that weighed on economic activity.

Moreover, the rising financing costs dragged investment and in turn depressed domestic demand, in construction and in industry, said Bundesbank.

Further, the bank noted that the economy received tailwind from the robust labor market and strong wage increases amid easing inflation.

Pessimism among euro area consumers increased somewhat in October, preliminary survey results from the European Commission showed.

The seasonally adjusted flash consumer confidence rose to -17.9 from -17.8 in September. Economists had forecast a score of -18.3. The corresponding indicator for the EU remained unchanged at -18.7 in October.

In the German market, Covestro, Zalando, HeidelbergCement and Siemens Healthineers surged 2 to 2.6%. Puma gained about 1.3%.

Merck drifted down 2.65%. Sartorius ended 2.4% down, while Fresenius Medical Care, Siemens Energy, Vonovia, Porsche and Infineon lost 1 to 1.7%.

In Paris, Eurofins Scientific gained more than 2.5%. Stellantis climbed 2.1%. Publicis Groupe, L'Oreal, Hermes International and Essilor gained 1.5 to 2%. Safran and Thales also ended notably higher.

Teleperformance dropped 4%. WorldLine ended lower by 2.3%, while Engie declined 1.25%.

In the UK market, Flutter Entertainment rallied 4%. IAG gained nearly 3%, while Carnival, Informa, Rolls-Royce Holdings, WPP and Royal Mail ended higher by 2 to 2.5%.

Halma, Next, JD Sports Fashion, St. James's Place, Smiths and Barratt Developments gained 1.5 to 2%.

Fresnillo tumbled about 4.7%. AstraZeneca, BT, BP, Antofagasta and IHG lost 2 to 3.1%. TUI, Centrica, Glencore, Natwest Group, Anglo American Plc, Hiscox, Vodafone and Segro also ended notably lower.