The German market is trading lower on Friday, after oil cartel OPEC left production quotas unchanged at its meeting in Vienna. It is feared that falling oil prices could increase the risk of deflation in the euro zone. Yet, travel-related stocks advanced on the day.
On the economic front, Eurozone inflation slowed in November after accelerating slightly in the previous month, according to preliminary data released by Eurostat. The flash euro area annual inflation fell to 0.3 percent from October's 0.4 percent, in line with economists' expectations.
Separately, Eurostat announced that the Eurozone unemployment rate held steady at 11.5 percent in October for a second straight month since August. That was also in line with economists' expectations.
German retail sales grew at the fastest pace in more than three years in October, as consumer confidence strengthens amid favorable labor market conditions and low inflation.
Retail sales rose a calendar-and-seasonally adjusted 1.9 percent month-over-month, preliminary figures from Destatis revealed. Economists had expected 1.5 percent growth. The increase was the biggest since June 2011, when sales grew 2.6 percent.
France's domestic producer prices declined in October as expected, figures from the statistical office INSEE showed. The producer price index for the French market fell 1.4 percent annually, in line with economists' expectations. Prices fell at the same pace in September and August.
The Euro Stoxx 50 index of eurozone bluechip stocks is losing 0.18 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, is falling 0.29 percent.
The DAX index is currently losing 0.54 percent.
Basf is declining 3.3 percent, Lanxess is falling 1.3 percent and HeidelbergCement is losing notably.
Miner Aurubis is declining about 3 percent. Goldman Sachs cut the stock to "Neutral" from "Buy."
However, Lufthansa is gaining 4 percent after UBS raised the stock to "Buy" from "Neutral."
Other markets in the region are also trading lower.
The Asian stocks ended mixed in the absence of overnight cues from the U.S. Chinese shares soared on hopes of fresh policy action and Japanese shares rallied on a weaker yen, while Australian shares fell amid a continued decline in crude oil prices.
In the U.S., futures point to a cautious open on Wall Street, after the Thanksgiving Holiday.
Crude for January delivery is losing $5.15 to $68.54 per barrel, while gold is falling $13.9 to $1183.6 a troy ounce.
For comments and feedback contact: editorial@rttnews.com
Market Analysis