European Stocks Pare Weekly Losses, Allianz Drops

(RTTNews) - European stocks posted modest gains Friday, rebounding from 4-week lows, although Germany's main index was pulled down by heavy losses from insurance company Allianz.

Led by gains among big banks, most markets around Europe snapped back from early losses, thanks in part to bargain hunting and some upbeat economic news from the U.S.

A report from the U.S. Commerce Department said the U.S. economy grew at an annual pace of 4.6 percent in the second quarter, compared to the previously reported 4.2 percent growth.

Investors shrugged off a survey by market research group GfK, which showed that German consumer sentiment is set to deteriorate in October on continued geopolitical tensions.

The forward-looking consumer confidence index dropped to 8.3 from 8.6 in September. Economists expected the index to drop marginally to 8.5.

Separately, a survey by the Conference Board revealed that the leading index for Eurozone declined 0.6 percent in August.

The Euro Stoxx 50 index of eurozone bluechip stocks rose 0.54 percent to 3219.58. Still, the index was down 1.6 percent this week.

Around Europe, the German DAX slipped 0.2 percent and France's CAC 40 rose 0.91 percent, while the U.K.'s FTSE 100 inched up 0.15 percent.

Lloyds Banking Groupwas up 0.6 percent in London after the British lender said it has sold 57.5 million ordinary shares in TSB Banking Group Plc. representing about 11.5 percent of the TSB's issued ordinary share capital to raise about 161 million pounds.

Mining giant BHP Billiton was down 0.8 percent as it signed a memorandum of understanding and cooperation with Petroleos Mexicanos to exchange technical knowledge, information, experiences and practices in activities related to the oil and gas industry.

Air France-KLM slipped 1.7 percent in Paris as pilots continue their strike despite the airline offering to withdraw controversial plans to expand the low-cost Transavia brand in Europe.

Lufthansa, which is also facing a strike by its pilots over an early retirement scheme, rose 1.08 in Frankfurt.

Shares of De La Rue plummeted 32 percent after the printer warned on profit for both 2014 and 2015.

German Industrial robots maker Kuka was flat after it offered to buy Swiss logistics company Swisslog Holding AG for about 339 million Swiss francs ($358 million).

Novartis said its investigational drug Signifor long acting release has been recommended by the Committee for Medicinal Products for Human Use or CHMP for approval in the European Union or EU. Shares were down fractionally.

Roche said it had launched a new Global Access Program for HIV viral load testing. Shares fell 0.57 percent.