European stocks pulled back for a second day, as a shutdown of the U.S. government extended and a gauge of service-industry activity in the world’s largest economy decline more than estimated. Gerresheimer AG relinquished 2 percent as Credit Suisse Group AG dropped down its recommendation on the shares. Schneider Electric SA recorded a 3.2 percent decrease. Aviva Plc soared 1.4 percent as the insurer announced that it produced $2.6 billion from the sale of its U.S. business. BP Plc exchanged 1.1 percent greater after a U.S. appeals court ordered a reconsideration of key terms of a settlement in the 2010 Gulf of Mexico oil spill case. Budget Impasse U.S. President Barack Obama and congressional leaders yesterday failed to break a budget impasse in their first face-to-face negotiations since the government began its first partial shutdown in 17 years on Oct. 1. The standoff raises concern the budget dispute may affect talks to increase the $16.7 trillion debt ceiling by Oct. 17 so as to avoid a default. National Indexes National benchmark indexes marched lower in 14 of the 18 western European markets. The U.K’s FTSE 100 inched 0.2 percent up, while France’s CAC 40 relinquished 0.7 percent. Germany’s DAX slide 0.4 percent down, with the volume of shares exchanged 46 percent lower than the 30-day average as many businesses closed for the Unity Day holiday. Aviva Advances Aviva developed 1.4 percent increase to 413.1 pence after saying the sale of its U.S. life-insurance and annuities business to Apollo Global Management LLC’s Athene Holding Ltd. generated proceeds of $2.6 billion, higher than the $1.8 billion purchase price disclosed in December. Earnings and other improvements in the U.S. company’s surplus increased the value, Aviva said. BP bolstered 1.1 percent to 437.15 pence as the U.S. Court of Appeals asked District Judge Carl Barbier to review his interpretation of some of the terms of a settlement reached with spill victims’ lawyers in 2012. The oil company said the program’s administrator was approving payment of millions of dollars in “fictitious” losses based on a flawed interpretation of the agreement. The appellate panel also asked Barbier to stop some payments until he can sort out who has legitimate claims. K+S AG, a German potash producer, gained 2.9 percent to 19.15 euros. Russia has told bidders for Suleiman Kerimov’s 22 percent stake in OAO Uralkali that the world’s biggest potash maker should resume cooperation with its Belarusian rival, Dow Jones reported late yesterday, citing unidentified people close to the discussions. The $20 billion potash market was “paralyzed” after the two companies ended a joint venture in July, Potash Corp., North America’s largest fertilizer producer, said in September. Schibsted ASA rallied 6.6 percent to 337.20 kroner, its highest price since at least 1992, after Goldman Sachs Group Inc. began coverage of Norway’s largest media group with a purchase rating, citing earnings-growth potential for its online classifieds business.
