Thursday 29 Feb 2024
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LONDON (Oct 17): European stock markets rose at the start of trading on Friday, the end of an immensely volatile week for shares as investors fear a return to recession in the eurozone.

London's benchmark FTSE 100 index of top companies gained 0.29 percent to open at 6,214.05 points compared with Thursday's closing level.

Frankfurt's DAX 30 index climbed 0.54 percent to 8,629.16 points and the CAC 40 in Paris advanced 0.40 percent to 3,934.19.

European stock markets had recorded intra-day losses of 2.0-3.0 percent on Thursday before pulling back late in the session, leaving Frankfurt to end with a modest gain.

Investors had been gripped by panic after weak eurozone inflation data, poor demand at a Spanish bond auction and concern that Greece could be set for a fresh financial crisis when it exits its bailout plan.

"Financial markets have endured some brutal swings in price action over the past few days, as uncertainty has built up over the outlook for global growth," said Michael Hewson, chief market analyst at traders CMC Markets UK.

"What the recent volatility does illustrate though is how unsure investors have become after what had been pretty much a one way bet on stocks for the last five years."

In a piece of good news, European auto trade data showed that sales of cars rose by 6.4 percent in September on a 12-month basis for the 13th month in a row, pulled by strong demand in Spain but with French manufacturers also doing well.

Shares in French auto-parts supplier Faurecia, owned by PSA Peugeot Citroen, surged 4.42 percent to 23.85 euros. PSA shares rose by 2.90 percent to 8.92 euros.

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