On Monday, in what could be contemplated as a momentary backlash by a number of analysts, a gauge of European stock exchanges had rounded off the day lower, pulling off of a three-month peak, as hefty losses in tech stocks alongside healthcare had overshadowed prospects of a post-pandemic economic recovery.
In point of fact, Monday’s muffled momentum in a number of European stock exchanges had almost entirely been goaded by a deluge of broad-based sell-off of the safe-haven stocks, which had shown significant scale of resilience during the pandemic-led lockdown measures.
Besides, as the European market participants appeared to be swaying away from the safe-haven stocks and were betting on financials alongside energies, the regional pan-European STOXX 600 had wrapped up the day 0.3 per cent lower after hitting a three-month-peak on previous session.
Healthcare, tech totter European stock indices
Citing statistics, on Monday’s European market wind down, London’s mid-capped FTSE Mid 250 index fell by 0.51 per cent to 18,136.90, Frankfurt’s DAX shed 0.22 per cent to 12,819.59 and French CAC 40 had curbed out 0.43 per cent to 5,175.52, while the Eurozone’s benchmark STOXX50 index lost 0.28 per cent to 3,077.76.
Elsewhere in the Europe, against the tide, the Madrid’s IBEX 35 gained 0.30 per cent to 7,896.19, while Italy’s FTSE MIB added 0.22 per cent to 20,231.38. On top of that, as European healthcare index .SXDP had shrugged off 0.6 per cent following reveal of a media headline that megamerger between Swedish-British AstraZeneca and US-based Gilead Sciences Inc.
could face off potential setbacks, while the AstraZeneca stocks slid 2.7 per cent. Apart from that, as the China-exposed European stocks such as chipmaker ASML alongside the STMicroelectronics fell over 4 per cent following reveal of a Chinese Official data that the world’s second-largest economies’ export had again faltered in to a contraction last month, adding that the European lenders could outperform over the coming weeks after a mammothlike $1.35 trillion debt buyback program launched by the European Central Bank, which in effect could purchase all of the debts issued by the bloc’s Governments to see through the pandemic-led tumble, KBW analysts wrote in a client note, “We find the year-to-date underperformance of the European banks, and the ECB actions, have created a compelling trading opportunity to buy”.