European shares score 2% in weekly gains as Trump-driven sell-off eases



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European shares score 2% in weekly gains as Trump-driven sell-off eases

On Friday, a bundle of European bourses wrapped up the day marginally higher as markets pared earlier weaknesses stemmed off the news that the US President Donald Trump had been tested positive for the pandemic contagion, while the regional pan-European STOXX 600 had scored a weekly percentage gain of roughly 2 per cent.

In point of fact, an ECB report revealing a larger-than-anticipated downcast in eurozone inflation reading which0 in effect had pinned hopes on more fiscal stimulus, had been a major market mover on Friday that eventually had shredded off the hesitant beginning of the day, as the regional pan-European STOXX 600 had rounded off the day up by 0.3 per cent.

For the week, the index had logged a 2 per cent weekly gain as a mass-scale buying spree of the beaten-down sectors such as financials and techs earlier this week had fuelled up a rally for the benchmark.

European stocks end volatile session higher as stimulus hopes offset pandemic fears

In tandem, a basket of European bourses opened the market more than 1 per cent lower on Friday following Trump’s remarks that he and the first lady Melania had been tested positive for the pandemic contagion, however, as eurozone inflation reading fell deeper into a negative territory last month which in turn had raised pressures on ECB to add further monetary stimulus, Trump-driven sell-offs had been ebbed off in the late-afternoon session.

Citing statistics, on Friday’s European market wind down, stocks ended the day at a mixed tenure with London’s FTSE 100 adding 0.39 per cent to 5,902.12 and French CAC 40 rising 0.02 per cent to 4,729.66, while Frankfurt’s DAX lost 0.33 per cent to 12,689.00.

Elsewhere in the Europe, Madrid’s benchmark IBEX 35 gained 0.35 per cent to 6,754.50, while Italy’s FTSE MIB had curtained the day almost dithered at 19,064.31. Meanwhile, referring to an upscaled market volatility throughout the week, a global equities portfolio manager at Federated Hermes, Louise Dudley said on the day’s market wrap-up, “The market has been volatile of late and valuations are high so this sell-off does not seem to be anything beyond ordinary.

The market has been volatile of late and valuations are high so this sell-off does not seem to be anything beyond ordinary.