LONDON – European stocks fell as the trading session developed on Friday morning amid concerns over monetary policy, the delta Covid variant and China’s technological crackdown.
The Stoxx 600 traded down 43 basis points shortly after the mainland opened up. The index is on track for its worst week since February.
The pan-European Stoxx 600 closed 1.7% lower on Thursday due in large part to signals from the Federal Reserve that it may cut stimulus measures as early as this year.
Most sectors were also down, with autos and food and beverage leading sector losses.
Meanwhile, the German DAX was down 0.64% after a larger-than-expected jump in producer prices, which saw a 1.9% month-on-month increase in July.
In the US, S&P 500 futures point to a lower open after a volatile trading session on Thursday. The S&P 500 managed to end a two-day losing streak, ending regular trading in the green.
Meanwhile, shares in Asia on Friday were mostly down after China left its key rate unchanged. In addition, tighter control over technology continues in China with a new data protection law approved on Friday.
Looking at individual actions, Marks & Spencer topped early trade gains, up nearly 11%, after the retailer raised its earnings outlook.
Morrisons supermarket was also among the top performers, up 4.2%, after announcing it approved a £ 7bn ($ 9.5bn) takeover offer from US private equity group Clayton. , Dubilier & Rice.
UK retail sales disappoint
Back in Europe, the German finance minister said on Friday that the economy was on track for a sustainable and strong recovery in the third quarter. There will be new growth figures for Germany next week.
In other data news, UK retail sales fell 2.5% in July from the previous month, according to the Office for National Statistics. Economists argue that rainy weather and the global chip shortage had an impact on UK consumer behavior last month.