European markets moved from gains to losses Friday, as investors chewed over data releases and more company earnings.
The pan-European Stoxx 600 index closed down 1%. Travel and leisure stocks led losses, falling 3%, while mining stocks slipped 2.8%, as all sectors and major bourses ended the day in the red.
European markets
Figures published in the morning showed the German economy contracted by 0.4% in the fourth quarter last year, with a previous flash estimate showing a 0.2% decline.
A survey found British consumers have turned slightly more optimistic on their personal finances and the economic outlook. However, French and German consumer confidence declined slightly in February.
This week, investors have been digesting a slew of corporate earnings as well as minutes from the Federal Reserve's latest meeting, which stated that recent signs of inflation coming down did not offset the need for more interest rate increases.
Meanwhile, fears of continued interest hikes with no cutting by central banks continue to loom, thanks to persistent inflation and signs that economies are proving resilient as labor markets remain tight. A poll of equity analysts published by Reuters on Thursday suggested global stock markets will continue to be volatile as market interest rate pricing moves higher.
Asia-Pacific markets closed mixed on Friday, with Chinese and Hong Kong indexes falling but Japan's Nikkei 225 climbing.
Incoming Bank of Japan Governor Kazuo Ueda said in a confirmation hearing that despite side effects such as the sharply weaker yen, the country's ultra-loose monetary policy was a "necessary, appropriate means to achieve 2% inflation."
On Wall Street, stocks fell sharply after the Federal Reserve's preferred inflation gauge showed a stronger-than-expected increase in prices last month.
