Stocks steady in Frankfurt, mixed in Europe

Stocks in Frankfurt holding ground near record territory despite disappointing data but markets traded mixed in rest of Europe on Friday, with the mining sector hit by concern about Chinese demand. Frankfurt (Germany)’s DAX 30 edged up 0.04 per cent to 9,943.27 points, coming closer to the unbroken 10,000 barrier despite retail sales unexpectedly falling. London’s FTSE 100 index of top companies dropped 0.39 pc to 6,844.51 points, penalised by mining shares, and the CAC 40 in Paris shed 0.24 pc to 4,519.57 points. Madrid (Spain) rose 0.60 pc and Milan (Italy) added 0.55 pc. The euro rose, coming off the lowest level since mid-February, as the dollar was hit by mixed US indicators but the euro still remains weighed down by expectations of a cut to eurozone interest rates next week by the European Central Bank (ECB).
- China weighs on miners -
In London, mining companies topped the FTSE fallers board on mounting worries about weaker commodities demand from Asian powerhouse China. Anglo American shares tumbled 5.7 pc to 1,457 pence, Rio Tinto shed 4.1 pc to 3,057 pence and Fresnillo dropped 3.5 pc to 806.00 pence. BHP Billiton was down 3.7 pc at 1,868 pence, Randgold dropped 3.0 pc to 4,357 pence and Antofagasta lost 2.0 pc to 788.50 pence. ‘Some worrying news from China sent miners lower,’ said analyst Chris Beauchamp at traders IG. In Paris, shares in BNP Paribas bank slumped 2.4 pc to 51.37 euros on a report that US justice authorities may fine it more than $10 billion on charges it violated sanctions against Iran, Sudan and Cuba. Trading generally was downbeat as dealers awaited next week’s crucial ECB interest rate decision. The Frankfurt-based central bank has already signalled that it was comfortable with easing monetary conditions, hinting at a possible interest rate cut when it meets next Thursday, according to AFP.