Europe: Miners lift stocks, travel firms hit by surging Covid-19 cases

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Europe: Miners lift stocks, travel firms hit by surging Covid19 cases

"The trend of growing European new infections looks unlikely to abate for now and could continue to weigh on sentiment," analysts at Commerzbank wrote in a note.However, the pan-European Stoxx 600 index ended 0.3 per cent higher, with miners jumping 1.7 per cent after fresh liquidity moves by the central bank in China, the world's top metals consumer.

Chipmakers also rose, while luxury stocks such as LVMH , Burberry and Kering climbed between 0.4 per cent and 1.9 per cent after Jefferies analysts said in a note that the strength of their businesses in China could help them to gain market share.Markets generally appeared to be in a holding pattern ahead of August business activity data later this week, which could shed light on the pace of an economic recovery, while the US Federal Reserve's policy minutes are also due on Wednesday.

France's Sanofi gained 1.2 per cent after it agreed to buy US company Principia Biopharma Inc for around US$3.7 billion. Healthcare stocks provided the biggest boost to the Stoxx 600. Real estate firms took a hit as Europe's largest property firm Unibail-Rodamco-Westfield slid 4.9 per cent after a media report said it was considering rights issue. The company said no decision had been made.For daily updates on weekdays and specially selected content for the weekend. Subscribe to

 

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