Eurozone GDP and Employment Data Impact Markets

European stock markets mostly closed lower this Friday, influenced by the latest GDP and employment figures released by the Eurozone. The data revealed a modest GDP growth of 0.2% in the euro area and 0.4% in the European Union during the fourth quarter of 2024, compared to the previous quarter. Employment saw slight increases of 0.1% in the euro area and 0.2% across the EU.

Market Reactions and Currency Movements

Significant declines were observed in key indices; the DAX dropped by 1.93%, with Rheinmetall leading the fall at 7.01%. The CAC 40 wasn't far behind, closing 1.08% lower, with ArcelorMittal decreasing by 5.25%. The Euro Stoxx 50 fell 0.77%, largely due to Bayer's 6.46% drop. Meanwhile, the FTSE 100 remained unchanged. On the currency front, the euro appreciated by 0.71% against the dollar, while the pound saw a 0.35% increase.

Political Tensions Surface

Amidst these economic updates, political tensions arose as Russia criticized French President Emmanuel Macron's proposal to potentially extend nuclear deterrence within the EU, highlighting the complex interplay between economic indicators and geopolitical dynamics.