European stocks slip from record highs but still log sixth straight month of gains

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European stocks slip from record highs but still log sixth straight month of gains

On Friday, a basket of major European bourses had wrapped up the session mostly lower as worries over a highly contagious Delta variant alongside regulatory chaos in China had eclipsed the optimisms about a solid economic recovery amid an upbeat quarterly earnings’ season.

Travel and leisure stocks had led the declines on Friday, while miners fell sharply amid a renewed uncertainty regarding the pace of economic recovery in the 26-member bloc. Nevertheless, Italy’s UniCredit gained 2.8 per cent after reporting a better-than-anticipated Q2 profit, while EssilorLuxottica jumped 3.4 per cent after raising its full-year profit forecast.

So far, among half of STOXX 600-listed companies which had released their quarterly earnings’ reports, about 67 per cent enterprises had topped analysts’ estimates, below a 72 per cent reported in the first quarter.

Major European bourses fall but secure monthly gains

Citing statistics, in the day’s European market closure, the regional pan-European STOXX 600 shed 0.5 per cent, but had reported a sixth straight month of gains in a row, remarking the longest winning streak for STOXX 600 since 2012-2013, when the index had gained for 12 straight months in a row.

Besides, London’s blue-chip FTSE 100 fell 0.65 per cent to 7,032.30 and French CAC 40 shed 0.32 per cent to 6,612.76, while Frankfurt’s DAX dwindled 0.61 per cent to 15,544.39. Elsewhere in the Europe, Italy’s FTSE MIB lost 0.60 per cent to 25,363.02, while Madrid’s benchmark IBEX 35 dropped 1.26 per cent to 8,675.70.

On the week, London’s FTSE 100 eased 0.07 per cent, French CAC 40 climbed 1.24 per cent and Frankfurt’s DAX dipped 0.27 per cent, while Milan’s FTSE MIB jumped 1.15 per cent and Madrid’s IBEX 35 added 0.25 per cent.

Over the month, FTSE 100 ended almost flatlined, CAC 40 leapfrogged 1.61 per cent and DAX edged 0.09 per cent higher, while FTSE MIB added 1.04 per cent and Madrid’s IBEX 35 had reported a monthly percentage decline of 1.65 per cent.

Meanwhile, referring to a lack of fresh impetus throughout the week, a chief market analyst at CMC Markets, Michael Hewson, said, “We’ve seen moves in both directions this week, but they’ve lacked any sort of conviction.

The overriding concern being whether the second half of the year will be able to match up to some of the decent numbers we’ve seen from various company updates this week”.