European Stocks Edge Higher Before US Jobs Data; Aurubis Sinks

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European stocks posted modest gains as investors awaited key US jobs data for clues on the Federal Reserve’s policy outlook.

The Stoxx Europe 600 Index rose 0.2% as of 9:23 a.m. in London, on track for its best weekly gain since mid-July. Energy stocks outperformed after Morgan Stanley double-upgraded the sector, while autos were laggards after UBS Group AG analysts cut their ratings on Renault SA and Volkswagen AG.

Sentiment has been somewhat subdued this week after data showed a drop in China’s manufacturing activity for a fifth consecutive month. Meanwhile, euro-area inflation stopped slowing in August, presenting European Central Bank officials with a quandary as they weigh whether price pressures are too persistent to risk a pause in interest-rate hikes.

On the policy front in Europe, new forecasts will show that the ECB’s inflation outlook hasn’t changed much over the summer, even though prospects for the economy worsened, according to ECB Vice President Luis de Guindos.

 

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