Europe Stocks Little Changed as Total, BP Offset GDP Data

European stocks were little changed as a slide in oil-related stocks offset data showing the euro area’s two largest economies returned to growth in the third quarter. U.S. stock-index futures rose, while Asian shares were little changed.

Total SA and BP Plc contributed the most to declines in a gauge of oil stocks as Brent headed for a record losing streak. IMI Plc lost 0.8 percent after reporting lower revenue amid more difficult market conditions than expected. Airbus (AIR) Group NV gained 2.7 percent after posting better-than-estimated third-quarter earnings as it sold more aircraft. Bouygues SA advanced 2.9 percent after raising its outlook for 2014.

The Stoxx Europe 600 Index slipped less than 0.1 percent to 335.82 at 9:13 a.m. in London. The measure has still rebounded 8.3 percent from this year’s low on Oct. 16 as the Bank of Japan unexpectedly boosted its stimulus and most lenders in Europe passed tests of their capital strength. Standard & Poor’s 500 Index futures rose 0.2 percent today, while the MSCI Asia Pacific Index climbed less than 0.1 percent.

“Investors in the short-term are pleased that GDP has surprised to the upside,” Peter Garnry, head of equity strategy at Saxo Bank A/S in Hellerup, Denmark, said in a phone interview. “But there is still a lot of uncertainty and one data point is not enough for investors to be cheering yet.”

German gross domestic product rose 0.1 percent in the three month through September after shrinking a revised 0.1 percent in the second quarter, the Federal Statistics Office said today. The French economy grew 0.3 percent after contracting 0.1 percent in the April-June period. Analysts surveyed by Bloomberg News predicted third-quarter growth of 0.1 percent for both economies.

Euro GDP

Euro-area GDP probably rose 0.1 percent in the third quarter, economists said in a survey before data due at 11 a.m. from the European Union’s statistics office in Luxembourg.

In the U.S., a preliminary report will show the Thomson Reuters/University of Michigan index of consumer sentiment increased to 87.5 this month from 86.9 in October, according to economists’ forecasts.

A measure of oil shares posted the second-biggest drop of the 19 industry groups on the Stoxx 600. WTI headed for the longest run of weekly declines in almost three decades and Brent was set for a record losing streak amid speculation that OPEC will hold off cutting production to ease concern of a supply glut. Total slid 0.9 percent to 45.08 euros. BP lost 1.1 percent to 425.2 pence.

IMI slipped 0.8 percent to 1,229 pence. The engineering company said revenue in the four months to end-October fell 6 percent amid difficult market conditions, particularly in Germany.

Airbus Advances

Airbus added 2.7 percent to 48.99 euros. Third-quarter earnings before interest and tax, goodwill impairment and exceptionals rose to 821 million euros ($1.02 billion) from 706 million euros. Analysts had estimated profit of 662 million euros.

Bouygues SA (EN) advanced 2.9 percent to 27.86 euros. The French construction, telecommunications and media conglomerate raised its outlook for 2014 revenue as construction abroad offset a slowdown in France and a price war in mobile-phone services.


Bloomberg

To contact the reporter on this story: Jonathan Morgan in Frankfurt at +49-69-92041-207 or jmorgan157@bloomberg.net To contact the editors responsible for this story: Cecile Vannucci at +44-20-3525-7032 or cvannucci1@bloomberg.net Alan Soughley