BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - The major European markets ended higher on Tuesday after a highly volatile session, as investors weighed the latest economic data out of China, and reports showing continued surge in coronavirus infections and fatalities in the U.S. and some parts of Europe.
News about the rapid spread of the novel coronavirus and the impending deep recession rendered the mood extremely cautious right through the session.
According to a report from the World Health Organization, there are over 0.8 million coronavirus cases across the globe and about 38,000 people have died due to the infection. The U.S., Italy, Spain, China and Germany are the worst hit due to the virus outbreak.
The uptick in European markets was due largely to data from China's National Bureau of Statistics that showed the manufacturing sector in the world's second largest economy moved back into expansion in March, with its PMI reading coming in at 52.0, beating forecasts for a score of 45.0. In February, the reading was 35.7.
China's non-manufacturing PMI rose to 52.3 in March, up from a lowly 29.6 in the previous month. The composite PMI rose to 53.0 from 28.9 a month earlier.
The pan European Stoxx 600 ended up 1.65%. The U.K.'s FTSE 100 gained 1.95%, Germany's DAX gained 1.22% and France's CAC 40 advanced 0.4%, while Switzerland's SMI notched up 1.5%.
Among other markets in Europe, Belgium, Czech Republic, Denmark, Finland, Iceland, Ireland, Italy, Netherlands, Norway, Poland, Portugal, Russia, Spain, Sweden and Turkey all ended sharply higher. Austria closed with modest gains, while Greece edged down marginally.
In France, Publicis Groupe shares soared 12% and Vivendi gained about 7.5%. Michelin, Total, Unibail Rodamco, Thales, Sodexo, Air Liquide, Peugeot, Saint Gobain, Vinci and Renault gained 3 to 6%.
ArcelorMittal gained over 8% after the company said it is reducing production and temporary idling steelmaking and finishing assets due to the coronavirus or Covid-19 crisis.
Safran declined more than 5.5%. Louis Vuitton, L'Oreal, Bouygues, BNP Paribas and Airbus Group also ended sharply lower.
In the German market, HeidelbergCement, Merck, Wirecard, RWE, BMW, Fresenius, Allianz, Siemens, Henkel, Deutsche Bank, BASF, Muench.Rueckvers and Continental gained 2 to 5%.
In the U.K. market, Hammerson soared more than 16%, while Smiths Group and Flutter Entertainment both ended higher by nearly 10%. Ashtead Group and Carnival gained 8.1% and 8%, respectively.
Shares of tobacco company Imperial Brands zoomed 12.3% after an announcement that there has been no material impact on Group performance from COVID-19 to date and current trading remains in-line with expectations.
In economic releases, Eurozone inflation eased to 0.7% in March from 1.2% in February, flash data from Eurostat showed. The rate was expected to slow to 0.8.
In Germany, the number of people out of work rose by 1,000 in March, much less than economists' forecast of 29,000, data published by the Federal Employment Agency revealed. Unemployment had decreased 8,000 in February.
The unemployment rate remained unchanged at 5% in March compared to the expected rate of 5.1%.
French inflation slowed sharply in March due to a strong downturn in energy and manufactured product prices, preliminary data from the statistical office Insee showed. Inflation slowed to 0.6% in March from 1.4% in February. The rate was forecast to slow to 1.1%.
Elsewhere in the U.K. the latest grocery market share data from research bureau Kantar showed that year-on-year supermarket sales grew by the fastest rate in over a decade during the past 12 weeks.
The U.K. economy logged flat growth in the fourth quarter, as initially estimated, as growth in services was offset by production and construction output, data from the Office for National Statistics showed.
Gross domestic product remained unchanged sequentially, as estimated, after expanding 0.5% in the third quarter.
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