European stock markets fell slightly on Friday, capping a largely negative week for global equities as the third-quarter earnings season intensified.
The pan-European Stoxx 600 index fell 1% on the week and was down another 0.04% by Friday’s close. Travel stocks led the losses, down 1.5%.
In terms of other indicators, the German DAX index closed up by about 0.02%, the French CAC index lost by about 0.08%, and the British FTSE index fell by about 0.25%.
Corporate results were mixed, with several banks beating expectations, but other sectors kept investor sentiment cautious.
Mercedes shares fell 1% after the German automaker reported a 64% drop in operating profit at its core automotive division, blaming weak macroeconomic conditions and fierce competition, particularly in Asia.
Shares of French spirits maker Remy Cointreau fell 0.7% after it cut its full-year sales forecast, saying it now expects a double-digit decline rather than a gradual recovery amid weakness in the U.S. and Asia-Pacific.
European luxury drinks companies are under pressure from higher tariffs on their Chinese exports, in retaliation for EU tariffs on Chinese electric cars.
Elsewhere, British bank NatWest closed up 0.6%, paring earlier gains. The stock had earlier broken to its highest level since 2011 after it beat expectations for sharply higher earnings and raised its annual guidance.
