EUROPE Stocks mixed in cautious trade

European stock markets were mixed on Tuesday, 08 November 2022, as investors seemed reluctant to make significant moves amid concerns over escalating COVID-19 cases in China and ahead of the U.S. midterm elections later in the day.

At 13:16 GMT, the pan European Stoxx 600 index climbed 0.25%, or 1.04 points, to 419.37. Germany's DAX index added 0.35%, or 48.86 points, to 13,580.38. France's CAC 40 index added 0.04%, or 2.81 points, to 6,419.42. The U.K.'s FTSE 100 index fell 0.1%, or 7.24 points, to 7,292.75. Switzerland's Swiss Market index added 0.14%, or 14.75 points, to 10,765.14.

Investors seemed reluctant to make significant moves ahead of the U.S. midterm elections later today and the release of US consumer price inflation data on Thursday. The midterm elections will determine whether Democrats maintain control of Congress, while the inflation data would give clues about how much the U.S. Federal Reserve's rapid interest rate hikes are helping cool down the economy.

Sentiments were also downbeat after reports that COVID-19 cases in the China surged at the sharpest rate since April, derailing a potential exit from Beijing's zero-COVID policy. COVID-19 cases sharply escalated in Guangzhou and other major Chinese cities, official data showed on Tuesday, with the global manufacturing hub fighting its worst flare-up ever.

Shares of China related companied declined on China demand concerns after reports of increased coronavirus cases in Guangzhou and other Chinese cities. French luxury giants LVMH and Hermes International were moving lower. Miners Anglo American, Antofagasta and Glencore also fell 1-2%.

Among individual shares, Associated British Foods shares advanced after reporting a jump in annual profits and announcement of 500 million pound share buy-back program for the current financial year.

Hammerson shares climbed up after the property firm said that footfall at its Irish flagships improved to 90% of 2019 levels in the third quarter of the year.

Carrefour shares fell after the retail giant said it would step up its expansion in e-commerce, open more discount stores and cut costs as part of a new strategic plan.

Schaeffler AG shares were higher after rolling element bearings maker stated that it is axing 1,300 jobs globally to rein in fixed costs and reduce overcapacity.

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