European bourses shelve weekly gains as Omicron concerns wane



by   |  VIEW 1580

European bourses shelve weekly gains as Omicron concerns wane

On Friday, in a light-holiday trading session in Europe and Asia, most stock indices had logged lofty gains amid an ease in Omicron associated concerns, locking up the week in an affirmative territory as traders headed to the Christmas Eve.

In point of fact, in the day’s modest upward spiral in global stock indices was almost entirely pivoted by signs that the newly identified Omicron variant, would unlikely to subvert global economic growth, as a fund manager in Anthilia, Milan, Giuseppe Sersale said, “The most popular motivation (for the rally) is the growing perception that Omicron is less lethal.

This certainty helped risk appetite return, but self-fulfilling expectations of Christmas rallies and reduced liquidity also came in play. I still think the news on Omicron is good, but not as good as the market is taking it.

So. it really depends on how much the contagions will fly”.

Global stock indices end higher ahead of Christmas eve

On top of that, as new studies had unveiled that Omicron variant had been less severe than Delta or Beta with hospitalization risks likelier to be 70 per cent lower than those of previous variants in high-risk demographics, MSCI’s gauge of global equity indices jumped 2 per cent over the week, while MSCI’s broadest index of Asia-Pacific shares outside Japan extended its record-setting rally, wrapping up the day 0.1 per cent higher.

Citing statistics, on Friday’s European market wind-down, London’s blue-chip FTSE 100 closed almost dithered at 7,372.10 and French CAC 40 shed 0.28 per cent to 7,086.58, while Frankfurt’s DAX jumped 1.04 per cent on Thursday.

Elsewhere in the Europe, Milan’s FTSE MIB closed 0.70 per cent higher to 27,016.22 on Thursday, while Madrid’s benchmark IBEX 35 jumped 1.24 per cent to 8,563.70. Frankfurt, Milan and Madrid bourses were closed on Friday due to Christmas Eve.

Over the week, London’s FTSE 100 surged 1.41 per cent, French CAC 40 rocketed 2.31 per cent and Frankfurt gained 0.77 per cent, while Milan’s FTSE MIB rose 0.87 per cent and Madrid IBEX 35 snowballed as much as 2.19 per cent.