European Stocks Fall as China Optimism Fades, Rates in Focus
European equities fell on Tuesday, snapping an eight-day winning streak, as optimism over China stimulus faded.
The Stoxx Europe 600 Index was down 0.2% by 08:07 a.m. London time, slipping from a seven-week high as miners, luxury goods makers and energy stocks retreated.
Among individual movers, Delivery Hero SE shares sank as Talabat Holding Plc, its Middle Eastern unit, turned negative in its trading debut. Ashtead Group Plc shares dropped after the industrial equipment rental firm proposed moving its primary listing to the US from London.
European stocks have seen a strong rebound in December, with gains across the luxury goods sector, retailers, autos and technology shares leading the bounce amid growing optimism over stimulus measures in China.
However, the next test for this year-end rally will be the European Central Bank’s meeting on Thursday, its first since governments in Paris and Berlin both collapsed over budget talks. Policymakers are widely expected to cut rates, though uncertainty remains as markets await the incoming presidency of Donald Trump and a possible trade war.
Source : Bloomberg
