Ericsson gains after strong results, Volvo slips; Miners step back
By Barbara Kollmeyer, MarketWatch
MADRID (MarketWatch) — European stocks markets opened lower Friday after the previous session’s gains, as investors digested results from Ericsson, Volvo and Nestle.
Markets were set to break a two-session winning streak, with the Europe Stoxx 600 index (ST:SXXP 266.95, -0.67, -0.25%) trading down 0.2% to 267.06. It closed up 0.6% in the prior session.
Traders looked ahead to the outcome of the Group of 20 meeting of finance ministers and central bankers currently underway in Seoul. U.S. stock futures were slightly higher, while Asian stocks were mixed.
The German Ifo Institute’s business climate index rose to 107.6 in October, according to news reports. The indicator was expected to slip to 106.4 from 106.8 in September.
The earnings schedule was lighter in Europe on Friday, but key companies were on the move nonetheless. Shares of Ericsson AB (ERIC 10.77, -0.08, -0.74%) (SE:ERICB 75.15, +3.25, +4.52%) jumped 5.3% after the firm topped expectations on net income.
Shares of Volvo AB (VOLVY 14.24, +0.22, +1.57%) (SE:VOLVB 94.80, -0.95, -0.99%) fell 2.3%. The firm’s third-quarter sales fell short of expectations, though Volvo swung to a net profit from a loss a year ago.
Banks, drug and oil stocks were trading lower. Shares of UBS AG (CH:UBSN 17.59, 0.00, 0.00%) (UBS 18.10, -0.11, -0.60%) fell marginally. The company named Philip Lofts as its Americas chief executive officer, after making a decision to split the chief executive and chairman jobs for the area. Robert Wolf will remain chairman for Americas.
Also among Swiss banks, shares of Credit Suisse AG (CS 42.63, -2.39, -5.31%) (CH:CSGN 41.02, -0.39, -0.94%) fell nearly 1%.
Market heavyweight Nestle SA (NSRGY 55.22, +0.92, +1.69%) (CH:NESN 53.00, -0.05, -0.09%) rose 0.4% after it edged past expectations on sales and confirmed its outlook.
In Germany, shares of Volkswagen AG (DE:VOW3 94.83, +1.53, +1.64%) rose 1%, while Beiersdorf AG (DE:BEI 47.05, -0.27, -0.56%) fell 1.3%. The German DAX 30 index (DX:DAX 6,603, -8.24, -0.13%) was down 0.1% to 6,604.53 after reaching a new closing high for the year on Thursday.
In France, the CAC-40 index (FR:PX1 3,873, -5.75, -0.15%) fell 0.2% to 3,869.84, with Schneider Electric SA (FR:SU 101.90, -1.50, -1.45%) off 2% and EADS SA (FR:EAD 18.36, -0.10, -0.52%) down 1.1%. Auto stocks were higher in Paris, with PSA Peugeot Citroen SA (FR:UG 29.22, +0.42, +1.46%) up 1.7% and Renault SA (FR:RNO 42.58, +0.88, +2.11%) up 1.8%.
The U.K. FTSE 100 index (UK:UKX 5,734, -24.30, -0.42%) fell 0.3% to 5,742.67, with mining shares weighing on the downside. December gold futures fell $8.60 to $1,316.90 an ounce, while December copper futures were flat at $3.78 a pound.
Shares of British Sky Broadcasting Group PLC (UK:BSY 700.50, +3.00, +0.43%) rose 1% after the firm reported a 78% rise in fiscal first-quarter net profit, while revenue topped forecasts.
