Investing.com - European stocks were sharply lower on Monday, as Friday's disappointing manufacturing and service sector data from the euro zone continued to weigh on equities.
During European morning trade, the EURO STOXX 50 lost 1.11%, France’s CAC 40 plummeted 1.21%, while Germany’s DAX 30 tumbled 1.06%.
Research group Markit reported on Friday that Germany's preliminary manufacturing purchasing managers' index ticked down to 51.5 this month from 51.9 in June, while the country's services PMI slipped to 53.7 in July from 53.8 in June, compared to expectations for a rise to 53.9.
Markit also said that France's preliminary manufacturing PMI fell to 49.6 this month from 50.7 in June, while the services PMI declined to 52.0 from 54.1.
For the entire euro zone, Markit said the composite PMI, which combines the manufacturing and the service sectors, slipped to 53.7 in July from 54.2 the previous month.
Financial stocks were also mostly higher, as French lenders Societe Generale (PARIS:SOGN) and BNP Paribas (PARIS:BNPP) tumbled 1.82% and 1.26%, while Germany's Commerzbank (XETRA:CBKG) and Deutsche Bank (XETRA:DBKGn) plunged 3.46% and 2.83%.
Among peripheral lenders, Italy's Unicredit (MILAN:CRDI) and Intesa Sanpaolo (MILAN:ISP) lost 1.50% and 2.24% respectively, while Spanish banks Banco Santander (MADRID:SAN) and BBVA (MADRID:BBVA) retreated 1.38% and 1.40%.
Elsewhere, Valeo (PARIS:VLOF) SA plummeted 3.20% after France’s second-biggest auto-parts maker reported a 34% jump in first-half profit.
In London, FTSE 100 slid 0.32%, led by Merlin Entertainment, down 6%, warned that full-year earnings would be about half of what it made last year, following a roller-coaster crash at its Alton Towers theme park in June.
Financial stocks added to losses, as Lloyds Banking (LONDON:LLOY) dropped 0.45% and HSBC Holdings (LONDON:HSBA) declined 0.72%, while retreated 0.87% and 0.96% respectively.
Also on the downside, Ryanair Holdings lost 2.04% after the discount carrier said fiscal first-quarter earnings increased by 25% and that full-year numbers should be toward the top end of forecasts.
Meanwhile, mining stocks were broadly higher. Shares in Fresnillo (LONDON:FRES) and Anglo American (LONDON:AAL) rallied 2.02% and 2.17%, while Bhp Billiton (LONDON:BLT) and Randgolg Resources surged 2.29% and 3.39% respectively.
In the U.S., equity markets pointed to a lower open. The Dow Jones Industrial Average futures pointed to a 0.17% fall, S&P 500 futures signaled a 0.12% loss, while the Nasdaq 100 futures indicated a 0.24% decline.