European Stocks Post Weekly Gain While Delivery Hero Slumps
European stocks posted their first weekly gain in three on Friday as they resumed trading after the Christmas break.
The Stoxx Europe 600 Index ended the session 0.7% higher, its best day in a month, albeit in holiday-thinned volumes. Automotives, banks and financials fared best while retailers lagged.
Among individual stocks, Delivery Hero SE slumped as much as 9% after the Taiwanese anti-trust regulator rejected Uber Technologies Inc.’s plan its to buy its Foodpanda business on the island for $950 million.
David Kruk, head of trading at La Financiere de L’Echiquier in Paris, said European stocks may lack clear drivers in the final trading sessions of 2024, given holiday-reduced volumes.
“There could be some short-covering from hedge funds, which could lift markets a bit, but these are technical moves, not based on fundamentals,” Kruk said.
After rallying as much as 10% to a record high by September, the Stoxx 600 has halved that advance into year-end on concerns about regional political uncertainty and the threat of US tariffs under President-elect Donald Trump.
The benchmark regional index has dropped 3% in the fourth quarter and is heading for the biggest decline since the third quarter of 2022. It posted a gain of 1% for this week, though.
Source : Bloomberg
