European stocks mixed; risk rally pauses for breath
Investing.com — European stock markets steadied Wednesday, with the risk rally that dominated sentiment at the end of last year pausing as investors digested key economic data.
At 03:10 ET (08:10 GMT), the DAX index in Germany traded largely flat, the FTSE 100 in the U.K. rose 0.2%, while the CAC 40 in France traded down 0.1%.
European equities posted strong gains to end 2023, but this market optimism generated by hopes central banks will announce early interest rate cuts has ebbed in the face of disappointing economic data.
Manufacturing activity data, released on Tuesday, showed a contraction in the eurozone in December for an 18th straight month, pointing to an economy likely in recession.
There was a similar story across the pond, with the U.S. manufacturing PMI falling to 47.9 in December, down from 49.4 the prior month, and further into contraction territory.
The economic data slate is quiet in Europe Wednesday, with only German unemployment data for December scheduled.
More attention will be paid to the minutes from the Federal Reserve's last meeting, due for release later Wednesday, which will help traders gauge the central bank's thinking around monetary easing.
In corporate news, Ryanair (IR:RYA) will be in the spotlight after the low-cost carrier said that a number of online travel agents had stopped selling its flights in early December following legal and regulatory pressure.
Ryanair said it expected the move to reduce its short-term load factors by 1% or 2% in December and January but that it did not expect it to materially affect full-year traffic volumes or its profit-after tax guidance.
Oil prices retreated Wednesday after sharp gains earlier in the week, ahead of the release of crucial weekly
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