On Friday, a basket of European bourses had winded down the session almost flatlined as an excruciating uptick in pandemic cases across Europe had compounded the economic landscape in eurozone ahead of wintry chills, though a number of European indices had logged their second straight week of gains as investors seemed to be heavily betting on a “wait-and-see” approach.
Aside from that, European stock futures also tread water over the weekend but Madrid’s IBEX 35 that scored a modest gain over hopes of further policy easing from ECB (European Central Bank) as early as by its December policy meeting.
European stocks end flat, but score second consecutive weekly gains
In tandem, the regional pan-European STOXX 600 rose 0.01 per cent on Friday’s market wrap-up after experiencing an exploding rally earlier in the week following reveal of a potential development of a pandemic vaccine, while a Biden victory had downsized the risks which had been circulating around a likely EU-US trade row over Airbus SE subsidiary disputes.
Besides, hopes of a calmer global trade environment had helped the regional pan-European STOXX 600 to round off the week higher. STOXX 600 had gained as much as 12.5 per cent over the past couple of weeks, in part catalysed by a Biden victory in the November 3 US Presidential election as beforementioned.
Quoting statistics, on Friday’s market wind down, STOXX 600 ended the day almost dithered as beforementioned, while French CAC 40 added 0.33 per cent, Frankfurt’s DAX added 0.18 per cent and London’s FTSE 100 shed 0.36 per cent.
Meanwhile, citing that the prospects of a pandemic vaccine had brightened the outlook for European stocks last week despite gloomier economic activities amid renewed lockdown measures, a Europe economist at Capital Economics, Jessica Hinds said, “Even if the greater likelihood of a vaccine has brightened prospects for next year, the near-term economic outlook is still very gloomy.
Much of the euro-zone is yet again subject to substantial restrictions on daily life that are taking their toll on economic activity, particularly in parts of the services sector. ”