Europe: Stocks fall in holiday lull, set for best year in a decade

Frankfurt shares fell more than half a per cent, while those in France, Italy and Spain dropped around 1 per cent each. London-listed shares dipped 0.8 per cent.

After somewhat choppy trading earlier in the year, European equities have enjoyed a strong December as investors received clarity on two of the major risks to global economic growth - the US-China trade war and Brexit. In corporate news, spectacles group EssilorLuxottica shed 3.1 per cent, its largest daily drop in four weeks, after saying it had discovered fraudulent activity at a plant in Thailand that was expected to cost it 190 million euros .

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