12:00 PM EDT, 10/03/2024 (MT Newswires) -- The European stock markets closed lower in Thursday trading as the Stoxx Europe 600 dropped 1%, the Swiss Market Index lost 0.91%, France's CAC fell 1.32%, the FTSE in London was off 0.1%, and Germany's DAX was down 0.9%.

Eurozone business activity slipped into contraction territory in September for the first time since February, according to the seasonally adjusted HCOB Eurozone Composite PMI Output Index, which fell to 49.6 from a three-month high of 51.0 in August. Germany, France, and Italy's monthly business activity all contracted at the same time for the first time in 2024.

Meanwhile industrial producer prices rose 0.6% in the euro area and 0.4% in the European Union in August from July, according to preliminary estimates from Eurostat, the statistical office of the EU. Compared with a year earlier, industrial producer prices decreased 2.3% in the euro area and 2.1% in the EU.

Eurostat also reported that house prices increased 1.3% in the euro area and 2.9% in the EU in Q2 compared with the same quarter a year earlier. Compared with the previous quarter, house prices rose 1.8% in the euro area and 1.9% in the EU.

In Switzerland, the consumer price index declined 0.3% in September compared with the previous month, and was up 0.8% compared with a year earlier, according to the Swiss Federal Statistical Office.

And in corporate news, shares of Stellantis closed 4% lower on the CAC in Paris after analysts at Barclays downgraded the European automaker's stock to equalweight from overweight. The company reported Wednesday that Q3 sales dropped 20% year-over-year.

Other European automotive stocks were down in Thursday trading, as automaker Porsche and tiremaker Continental fell 3.9% and 3.3% respectively on the DAX, while Volkswagen and BMW dropped 1.6% each. And shares of French automaker Renault and tire maker Michelin were down 2.1% and 1.8% respectively in Paris.

TotalEnergies Chief Financial Officer Jean-Pierre Sbraire said Wednesday that the French oil and gas company may restructure and cut back its North Sea operations if the UK imposes a higher windfall tax on oil and gas producers.

The US Department of Justice reportedly expanded its investigation into potential price-fixing involving German software firm SAP and software reseller Carahsoft Technology, Bloomberg reported Thursday, citing new court filings. SAP did not immediately respond to requests for comment from MT Newswires. Shares of SAP closed 1.5% lower in Frankfurt.

And Spanish biopharmaceutical company Grifols's GigaGen unit said Thursday it was awarded a contract worth up to $135.2 million from the US Biomedical Advanced Research and Development Authority to develop a recombinant polyclonal antibody therapy for botulinum neurotoxins.