European stocks closed on a firm note on Monday, rebounding from previous session’s losses, as the mood in the markets turned positive after concerns about the Omicron variant of the coronavirus eased a bit amid indications the new strain causes milder symptoms.
Most of the markets across Asia ended firm and the U.S. market is notably higher as well amid optimism the new Omicron variant of the coronavirus might not have as much impact on the global economy as feared.
Meanwhile, top U.S. infectious disease official Anthony Fauci told CNN that scientists need more information before drawing conclusions about Omicron’s severity.
Crude oil prices rebounded amid renewed optimism about outlook for energy demand, and contributed to the positive mood in the markets.
The pan European Stoxx 600 climbed 1.28%. The U.K.’s FTSE 100, Germany’s DAX and France’s CAC 40 surged up 1.54%, 1.39% and 1.48%, respectively. Switzerland’s SMI gained 1.64%.
Among other markets in Europe, Austria, Belgium, Czech Republic, Denmark, Iceland, Ireland, Netherlands, Poland, Portugal, Spain, Sweden and Turkey closed with sharp to moderate gains.
Greece, Norway and Russia ended weak.
In the U.K. market, IAG shares climbed more than 8%. Flutter Entertainment gained nearly 6% and Melrose Industries gained 4.5%. Rolls-Royce Holdings, Burberry Group, Hikma Pharmaceuticals, Intertek Group, Anglo American Plc, IHG, Informa, Coca-Cola, Whitbread, ITV and Entain advanced 2 to 3%.
In the French market, Unibail Rodamco gained more than 6.5%. Airbus shares gained more than 4% after the company announced that The Helicopter Company, the first and only helicopter services provider in Saudi Arabia, has signed a second purchase agreement with Airbus Helicopters.
WorldLine, Safran, Air France-KLM,Carrefour, Faurecia, Accor, Sodexo, Renault, Technip, Atos, Pernod Ricard, Valeo, Vinci, Thales, BNP Paribas, ArcelorMittal, Veolia and Bouygues gained 2 to 5.4%.
Saint-Gobain gained 1.7% after announcing it would buy U.S.-based GCP Applied Technologies in a deal valued at around $2.3 billion.
In Germany, MTU Aero Engines, Airbus, Deutsche Bank, Fresenius Medical Care, Fresenius and Volkswagen gained 3 to 5.4%. Deutsche Telekom, E.ON, Adidas, Allianz, Continental, BASF, Siemens and Henkel advanced 2 to 2.7%.
In economic releases, Eurozone investor confidence eased to the lowest since last April as tighter lockdown measures weighed on current assessment, survey data from the behavioral research institute Sentix showed.
The investor confidence index fell to 13.5 in December from 18.3 in the previous month. This was the lowest score since April 2021 and below the expected level of 15.9.
Data released by Destatis showed German factory orders declined sharply in October, decreasing 6.9% month-on-month, reversing a 1.8% rise in September. Economists had forecast a moderate fall of 0.5%.
On a yearly basis, factory orders dropped 1%, in contrast to the 10.3% rise a month ago.
European Stocks Close On Strong Note On Slightly Fading Virus Worries
2021-12-06 17:49:30
