European stocks rise in thin trade

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The Stoxx Europe 600 Index gained 0.6 per cent, extending last week’s rally and hitting its highest level in five weeks.

Europe’s main index is up 22 per cent in 2021, and less than 1 per cent from its record high.Coronavirus infections have spiked across the globe over the weekend, with France reporting a daily record of more than 100,000 new cases. Equities in the region are having a bumpy end of year as market participants weigh economic prospects amid the spread of the new omicron variant and as central banks have turned more hawkish in response to surging inflation.

With only a few sessions left in the year, Europe’s main index is up 22 per cent in 2021, and less than 1 per cent from its record high. “This week should be a transitional one, with few sessions, low volumes and not much news expected,” said Jaime Espejo, equities fund manager at Imantia Capital in Madrid. “The coronavirus threat is still very vivid as the infections rate is higher than expected.”

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