European shares end off 17-mth high on U.S. data

LONDON Mon Dec 3, 2012 10:14pm IST

LONDON Dec 3 (Reuters) - European shares gave up most of their gains in a late market sell-off on Monday, retreating from a 17-month high due to disappointing U.S. manufacturing data and persistent concerns about a fiscal row in the United States.

The FTSEurofirst 300 index of top European shares provisionally closed 0.2 percent firmer at 1,121.38 points.

Earlier, the index rose up to 1,128.65, the highest since July 2011, helped by surveys showing Chinese manufacturing returned to growth in November and a downturn in euro zone factories eased.

But European shares pared gains after a survey showed U.S. manufacturing unexpectedly contracted.

The market also saw some technical selling, with the euro zone's blue chip Euro STOXX 50 index failing to hold a key resistance level of 2,600 - its September high. The index was up 0.3 percent at 2,581.96 points.

"The index looks toppish and further short-term pullbacks are possible," Roelof-Jan van den Akker, senior technical analyst at ING Commercial Banking, said.

"Within the index's 50-day moving average and last week's gap between 2,549 and 2,559, you should expect the development of a higher bottom from where the next rally to break the strong resistance at 2,600 could start."

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

India-Nepal Ties

REUTERS SHOWCASE

Facebook Results

Facebook Results

Facebook beats Wall Street targets, stock hits record high  Full Article 

GM Recall

GM Recall

GM recalls 717,950 vehicles in U.S., not for ignition switches  Full Article 

Factory Sector

Factory Sector

China July HSBC flash PMI at 18-month high of 52.0   Full Article 

Breakingviews

Breakingviews

Apple winds up earnings hope for new gadgets  Full Article 

BRICS Bank

BRICS Bank

World Bank chief welcomes new BRICS development bank.  Full Article 

Streamlining Operations

Jet Streamlines

Jet Airways chairman says looking to restructure debts, talking to bankers  Full Article 

Political Economy

Political Economy

Analysis - Watch what markets don't do as world politics turns nasty   Full Article 

Honda's India Thrust

Honda's India Thrust

Honda's India unit to account for 25 pct of Asia Pacific sales by March 2017 - exec   Full Article 

 Boosting Output

Boosting Output

NMDC plans to boost iron ore output by two-thirds  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage