European stocks close mixed after U.S. jobs report surprise

U.S. stocks were mixed in early deals Friday following the release of fresh economic data and company earnings.

The Dow Jones Industrial Average dipped 0.3% while the S&P 500 rose 0.4%. The tech-heavy Nasdaq also rose 0.9%, with Meta shares leading the charge, up 17% after announcing its first-ever dividend.

— Karen Gilchrist

The European stocks rally of Friday lost momentum by the middle of the afternoon, after the January nonfarm payrolls report showed the U.S. labor market remained surprisingly strong.

The pan-European Stoxx 600 was up 0.3% by mid-afternoon, after climbing more than 0.7% earlier. Autos added 1.8% to lead gains while mining stocks fell 0.8%.

The easing came after the U.S. Labor Department's January jobs report showed employers had added 353,000 positions to the payroll, well above expectations near 185,000, according to a Dow Jones survey of economists.

The resilience of the labor market casts doubt over whether the Federal Reserve could cut interest rates sooner rather than later.

"On the basis of today's jobs report, there is absolutely no sign of a softening labour market or weakening wage pressures. It wasn't just a strong January, it turns out that previous months were stronger than initially believed," said Seema Shah, chief global strategist at Principal Asset Management.

"Throw in the sharp move higher in average hourly earnings and Fed officials must be wondering if their rate hikes have had any impact on the economy. The dramatic upside surprise to both jobs and wage growth means that a March rate cut must be off the table now, and a May cut is also now potentially on ice."

- Elliot Smith

Superdry shares soared more than 100% on Friday as the embattled British fashion retailer confirmed that co-founder and CEO Julian Dunkerton is considering taking it private.

A recent slump in sales and a falling share price have led to speculation that Superdry, which listed on the London Stock Exchange in March 2010, may become a takeover target.

The company confirmed in a market update on Friday that Dunkerton had requested "permission to begin exploring the possibility of making an offer for the company," and to begin talks with potential financial backers, which the company accepted.

Read the full story here.

- Elliot Smith

The pan-European Stoxx 600 was up 0.7% by early afternoon, with autos adding 1.9% to lead gains as most sectors and major bourses advanced. Oil and gas bucked the positive trend to fall 0.5%.

Shares of German food delivery company Delivery Hero fell more than 10% to a record low on Friday, after a media report suggested that talks over the sale of its Southeast Asian business had collapsed.

The shares recouped some of the losses by around noon London time, as the company put out a statement insisting the report was "false," before sliding once again.

Citing sources familiar with the matter, Malaysia's New Straits Times reported that Delivery Hero and Singapore-based Grab could not agree on a valuation for the former's Foodpanda business.

Delivery Hero promptly responded with an ad hoc market update.

"On September 20, 2023, Delivery Hero had confirmed negotiations regarding a potential sale of its foodpanda business in selected Southeast Asian markets covering Singapore, Malaysia, the Philippines, Thailand, Cambodia, Myanmar and Laos," the company said.

"There are market rumors that the negotiations for the Potential Sale have collapsed. We confirm that the negotiations for the Potential Sale are ongoing, and, thus, the rumors are false."

The stock price fall comes after Delivery Hero shares plunged on Tuesday, as the company announced that it would sell its minority stake in British rival Deliveroo at a loss.

-Elliot Smith

Vallourec shares jumped around 8% in early trade on Friday to notch a 10-month high after the French steel tubes maker estimated that its full-year earnings would surpass its prior forecasts.

Danske Bank shares jumped around 6% after the Danish lender announced a new share buyback program.

At the bottom of the Stoxx 600, Electrolux shares fell more than 5% after the Swedish home appliance company said it expects consumer sentiment to remain weak in early 2024.

- Elliot Smith

The pan-European Stoxx 600 was up 0.4% in early trade, with autos adding 1.6% to lead gains as most sectors and major bourses advanced. Oil and gas bucked the positive trend to fall 0.8%.

Britain's FTSE 100 is set to open around 50 points higher at 7,672, Germany's DAX is seen around 107 points higher at 16,966 and France's CAC 40 is expected to add around 31 points to 7,620, according to IG data.

Family offices have boomed in the last few years, thanks in part to the growing number of wealthy individuals.

There's been a surge in "extreme" wealth in the last three years alone.

UBS told CNBC Pro that "family offices are planning the biggest modifications in strategic asset allocation for several years," adding that this comes "at a time when inflection points spanning policy rates, inflation and economic growth appear likely."

CNBC Pro scoured recent surveys and spoke to family office operators to find out how they're allocating right now and in the next few years — in the face of major global shifts.

CNBC Pro subscribers can read more here.

— Weizhen Tan

Energy stocks have had a mixed start to the year as ongoing geopolitical uncertainties and fluctuating oil prices continue to affect the sector.

One chief investment officer, however, sees potential in oil, naming one immediate and one longer-term investment opportunity.

"I think there is a big opportunity in geopolitics," Jevons Global's Kingsley Jones told CNBC's Pro Talks on Jan. 25, naming two stocks he likes.

— Amala Balakrishner