European Stocks Mostly Dip; Italian Banks Suffer

LONDON,(UrduPoint / Pakistan Point News - 1st Augst,2016) - European stock markets mostly fell Monday on poor post-Brexit manufacturing data, with Italy rocked also by stress tests which sparked fresh questions over the health of its troubled banks. London slid 0.4 percent as a survey showed Britain's manufacturing industry has slumped to its lowest level in more than three years on the back of Brexit. In the eurozone, Paris stocks retreated 0.6 percent, Madrid dropped 0.8 percent, while Frankfurt was essentially flat, after weak manufacturing figures for the area. The data prompted new concern over economic fallout from Britain's shock EU exit vote, and overshadowed news that most European banks had survived assessments designed to show their ability to weather another global crisis.

"Relief that European banks mostly survived the stress tests helped European markets get off to a good start on Monday but gains started to drift away ...

following disappointing UK and European data," said CMC Markets analyst Jasper Lawler. "UK manufacturing activity has slumped to its lowest level since February 2013. The drop in sterling has helped boost export orders but this was more than offset by a weaker production and domestic orders.