European stocks trade in tight ranges; U.K. GDP grew 0.3% in Q2

Published 14/08/2025, 08:08
© Reuters.

Investing.com - European stocks traded in a muted fashion Thursday as investors digested more corporate earnings as well as regional growth data, ahead of the release of key U.S. inflation data later in the session. 

At 03:05 ET (07:05 GMT), the DAX index in Germany climbed 0.1%, the CAC 40 in France gained 0.2%, while the FTSE 100 in the U.K. dropped 0.2%. 

Looking for European growth 

European investors have taken a pause for breath Thursday, after recent gains, as they focused on a swathe of economic data that will offer a glimpse of the strength of the regional economy after a bout of extreme uncertainty in the wake of the Trump administration’s volatile trade policies.

Data released earlier in the session showed that Britain’s economy grew by a faster-than-expected 0.3% in the second quarter of 2025, but this still represented a slowdown from the growth of 0.7% in the first three months of the year.

The Bank of England had forecast 0.1% growth in gross domestic product for the April-June period.

British GDP rose by 0.4% in June alone, a stronger expansion than the 0.1% forecast, after a fall in output in both May and April.

Second-quarter growth figures for the eurozone are due for release later in the session, and are expected to show meager 0.1% growth in the second quarter, a hefty slowdown from the 0.6% growth seen in the first three months of the year. 

Also of interest will be the release of the U.S. producer prices for July after mild consumer prices, reported earlier in the week,  raised expectations of a September rate cut by the Federal Reserve..

Carlsberg warns of difficult environment 

There are more corporate results to digest Thursday.

Carlsberg (CSE:CARLb), the third largest brewer in the world, missed half-year profit and volume forecasts, warning it does not expect any improvement in the consumer environment for the rest of 2025.

German energy giant RWE (ETR:RWEG) reported disappointing first-half 2025 earnings, with weaker wind speeds and challenging energy trading conditions weighing.

Antofagasta (LON:ANTO) posted a nearly 60% increase in half-year core earnings on Thursday, with the London-based Chilean miner benefiting from higher production and sales of its copper.

Swiss Re (SIX:SRENH) beat expectations for its net income for the first half of 2025, with the reinsurer saying its results were supported by lower catastrophe claims, stronger underwriting margins and higher investment income.

Lanxess (ETR:LXSG) cut its full-year profit outlook, with the German speciality chemicals maker citing weak demand and warning of no recovery in the economic environment for the rest of the year.

German container shipping company Hapag Lloyd (ETR:HLAG) posted a 3.1% decline in its first-half net income and brought down the top of its full-year earnings forecast range, citing geopolitical uncertainty.

Crude bounces after weakness

Oil prices edged higher, bouncing from the previous session’s weakness ahead of Friday’s meeting between Trump and Russian President Vladimir Putin. 

At 03:05 ET, Brent futures climbed 0.7% to $66.06 a barrel, and U.S. West Texas Intermediate crude futures rose 0.7% to $63.06 a barrel.

Both contracts hit their lowest in two months on Wednesday after official data showed U.S. crude inventories in the United States unexpectedly rose by 3 million barrels, creating worries over demand in the world’s largest consumer as the important summer driving season draws to a close.

However, traders are also focusing on the meeting in Alaska between the two presidents to discuss an end to the war in Ukraine which has raged since February 2022 and disrupted the oil markets.

Trump on Wednesday threatened "severe consequences" if Putin does not agree to peace in Ukraine. Trump did not specify what the consequences could be, but he has previously warned of economic sanctions.

 

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