9-6-13 10:39 AM EDT | Email Article

By Sara Sjolin, MarketWatch


LONDON (MarketWatch) -- European stock markets erased gains in afternoon action on Friday, after Russian President Vladimir Putin reportedly said he would assist Syria if it suffers an external attack.


The Stoxx Europe 600 index fell 0.2% to 304.06, trimming its weekly gain to 2.3%. Earlier in the day the benchmark traded as high as 306.68 after weaker-than-expected jobs data from the U.S. increased speculation the Federal Reserve may delay its anticipated tapering of asset purchases.


Shares of Tullow Oil PLC gained 2.3% after the oil-exploration firm said the Wisting Central well has made the first ever oil discovery in the Hoop-Maud Basin in the Barents Sea.


Shares of Sage Group PLC dropped 1.5% after Morgan Stanley cut the software firm to underweight from equal weight. The analysts said they prefer rival firm SAP AG , given its strong position as market leader. SAP shares slipped 0.3%.


The broader European stock markets were sent on a roller-coaster ride in the afternoon, where they first moved higher after U.S. data, but then were sent sharply lower after Russian President Vladimir Putin added to international tensions about Syria. In St. Petersburg, where the G-20 meeting is taking place, Putin said Russia will continue its arms sales and aid to Syria even if other countries launch a military strike against the Middle Eastern nation, according to Dow Jones Newswires.


The comments came as U.S. President Barack Obama was trying to secure international and congressional support to launch an intervention in Syria for the country's alleged use of chemical weapons


Nonfarm payrolls disappoint


On the data front, the main event of the day was the U.S. nonfarm-payrolls report. The Labor Department said 169,000 new jobs were added to the economy in August, below the 173,000 expected by economists surveyed by MarketWatch. The unemployment rate, meanwhile, ticked down to 7.3% from 7.4%, but that was because fewer people were looking for work.


The jobs report is considered one of the most important data from the U.S. and a weak number could increase speculation the Federal Reserve will delay the anticipated tapering of its $85-billion-a-month asset purchases.


Read economists' and lawmakers' reactions to August payrolls.


"The bottom line is that today's report paints a picture for the labor market that is not as rosy as most had expected. Jobs are not being cut perhaps, but they are also not being created at a pace that signals a healthy, robust economy," said Jim Baird, chief investment officer for Plante Moran Financial Advisors, in a note.


"The Fed may still choose to move forward, but [the] recent jobs data certainly doesn't point to an economy that is firing on all cylinders. With the markets very focused on the Fed's next move, any sign that tapering could be delayed could be a positive catalyst, at least in the near term," he added.


U.S. stocks traded lower on Wall Street.


Germany's DAX 30 index dropped 0.3% to 8,212.22.


France's CAC 40 index lost 0.1% to 4,004.24, while the U.K.'s FTSE 100 index gave up 0.3% to 6,512.23.


In Germany, the financial sector was in the spotlight after Moody's Investors Service changed the outlook for the country's banking system to stable from negative, which it had been since April 2008.


Shares of Commerzbank AG rose 1.4% while Deutsche Bank AG (DB) slipped 0.2%.

-Sara Sjolin; 415-439-6400; AskNewswires@dowjones.com


Subscribe to WSJ: http://online.wsj.com?mod=djnwires

(END) Dow Jones Newswires

09-06-13 1039ET

Copyright (c) 2013 Dow Jones & Company, Inc.
Copyright 2014 MarketWatch
Add a Comment

News   More...

Start Premium Trial Register For Free

P F Fund Financial Data (13,000+ funds)
P F Stock Financial Data (7,000+ stocks)
P F Stock and Fund Screeners (basic)
P F Investing Articles and Market Commentary
P F Articles Archive (>30 days)
P F Discuss (dozens of stock, fund, bond, and general bulletin boards)
P F Portfolio Manager (basic)
P F Morningstar Investment Classroom
P F Access Your Portfolio Anytime, Anywhere via Your Mobile Device
P   Morningstar Fund Analyst Reports (full research on 1,700 funds, ETFs, and CEFs)
P   Morningstar Stock Analyst Reports (full research on more than 1,100 stocks)
P   Portfolio Manager (advanced with 10 X-Ray analyses, including recommendations)
P   Portfolio Monitor (monthly and on-demand personalized portfolio statements)
P   Morningstar Proprietary Stock Information (stock star ratings, buy/sell prices, economic moat ratings, and more)
P   Morningstar 5-Star Stock and Fund Favorites & Red Flags eNewsletters
P   Premium Stock and Fund Screeners (advanced with nearly infinite ways to find the best securities for you)
P   Discounts on Morningstar newsletters, books, seminars, and more

Sign-up to Morningstar

Basic Access

Articles and Videos
Morningstar video reports, articles, data, and tools. Dig into our lineup of e-newsletters and investing classroom courses outlining sensible strategies for maximizing your investments.
Morningstar Discuss
Follow the buzz on individual stocks or fund families. Plus, read the latest posts from Morningstar members and analysts.
Portfolio Manager
Track your investments and watch lists with our Portfolio Manager. Customize your view with our comprehensive stock, fund, and ETF data.

Access these features and more when you sign up for Free Membership.
Join Morningstar today. It's Free.

Unlimited Access

Analyst Research
Gather in-depth, actionable insight on over 3,700 stock and mutual funds covered by Morningstar analysts. View our mutual fund Analyst Reports favored by professionals, savvy experienced investors, and new investors researching options for retirement savings, college plans, or other investment needs.
Portfolio X-Ray®
Ensure your portfolio is positioned exactly how you want with Morningstar's X-Ray Interpreter and Stock Intersection tools. A Barron's "Best of the Web" award winner for five years running, X-Ray Interpreter goes under the hood of your portfolio to provide a useful allocation, sector, and geographic analysis. And you can discover how much of a stock you really own, individually and through mutual funds, with Stock Intersection.
Investment Picks
Find new 5-star stocks (greatly undervalued companies) to consider daily. Our 5-star stock rating is a proven winner, consistently beating benchmarks like the S&P 500. Plus, browse our Fund Analyst Picks and Stewardship Grades to find shareholder-friendly mutual funds that are poised for outperformance.
Portfolio Monitor
Get a clear view of your investments with personalized reports about your portfolio. Receive monthly statements and generate reports on-demand to help you stay on track to meet your investment goals.

Access these features and more when you sign up for Premium Membership.
Start your free 14-day trial today online
Your subscription may be tax deductible. Please contact your tax advisor.

Content Partners
Morningstar - 2013/9/6 - UPDATE: Europe stocks fall on Putin's Syria comments
Name |  Ticker |  Star Rating |  Market Cap |  Stock Type |  Sector |  Industry Star Rating |  Investment Style |  Total Assets |  Category |  Top Holdings |  Top Sectors |  Symbol |  Title Star Rating |  Category |  Total Assets |  Top Holdings |  Top Sectors |  Symbol |  Name Topic |  Sector |  Key Indicators |  User Interest |  Market Cap |  Industry Name |  Ticker |  Star Rating |  Market Cap |  Stock Type |  Sector |  Industry Star Rating |  Investment Style |  Total Assets |  Category |  Top Holdings |  Top Sectors |  Symbol / Ticker |  Title Star Rating |  Category |  Total Assets |  Symbol / Ticker |  Name Title |  Date |  Author |  Collection |  Popularity |  Interest Title |  Date |  Company |  Symbol |  Interest |  Popularity Title |  Date |  Company |  Symbol |  Interest |  Popularity Title |  Date |  Author |  Collection |  Interest |  Popularity

Previous: UPDATE: Europe stocks fall after China data; Fiat soars  |  Next: UPDATE: Europe stocks fall; luxury goods firms hit