By Sara Sjolin, MarketWatch
LONDON (MarketWatch) -- Most European stock markets rose on
Friday, as euro-zone data showed signs of a recovery, although
Spanish stocks slumped after a short-selling ban was lifted.
The Stoxx Europe 600 index added 0.3% to 287.95, recouping from
a 0.5% loss on Thursday.
Shares of BT Group PLC jumped 5.4%, after the U.K. telecom
operator posted better-than-expected third-quarter earnings and
said its full-year financial outlook remains unchanged.
Shares of Swedbank AB advanced 2.6%, as Deutsche Bank lifted the
bank to buy from hold.
On a more downbeat note, shares of home-appliances firm
Electrolux AB slumped 6.5%. The company said the market situation
in Europe is likely to get worse, but that it will be offset by
growth in North America and emerging markets.
Mining firms showed positive moves, after some mixed readings on
Chinese manufacturing data. HSBC's final print of the manufacturing
Purchasing Managers' Index for January came in at 52.3, up from the
survey's initial reading of 51.9, while the official PMI reading
showed business activity remained in expansion territory, although
at a slower pace than in December.
Shares of Rio Tinto PLC (RIO) put on 1.4%, while BHP Billiton
PLC (BHP) rose 1%.
The FTSE 100 index traded 0.4% higher at 6,301.16.
Data from the euro zone showed the manufacturing sector
continued to shrink in January, but at the slowest pace in 11
months. Markit's final PMI rose to 47.9 from 46.1 in December,
coming in above an earlier estimate of 47.5.
Separately, a report showed euro-zone unemployment held steady
at 11.7% in December. The unemployment rate for November was
revised to 11.7% from 11.8%.
Spanish stocks on the decline
Spanish stocks were under heavy selling pressure, after
authorities on Thursday lifted a ban on short selling. The
short-selling ban was introduced last year during high volatility
and pressure on the country's equities and sovereign bonds.
The IBEX 35 index lost 1.9% to 8,207.20, with shares of Banco
Santander SA (SAN) down 3.5%.
Nonfarm-payrolls data and unemployment numbers from the U.S. due
later in the day were also on investors' minds.
U.S. stock-index futures pointed to a higher open on Wall
Street.
Among country-specific indexes in Europe, Germany's DAX 30 index
rose 0.2% to 7,791.92, while France's CAC 40 index added 0.9% to
3,766.66.
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