European stock markets recover from sales triggered by omicron

FILE PHOTO: The graph of the German DAX price index inside the Frankfurt Stock Exchange, Germany, on November 26, 2021. REUTERS / Personal

Nov 29 (Reuters) – European stocks rebounded on Monday from their worst drop in more than a year on Friday, as investors waited for clues on whether the variant of the coronavirus dubbed “omicron” will hamper the economic recovery and adjustment plans. central bank monetary policy.

The pan-European STOXX 600 Index was up 1% at 0818 GMT, after a 3.7% drop on Friday, sparked by concerns over the newly discovered variant.

A South African doctor who was among the first to suspect a different strain of coronavirus among patients said Sunday that omicron symptoms are so far mild and can be treated at home.

All industry sub-indices in the region were trading higher, with travel stocks leading the gains as Airbus, Lufthansa and Ryanair rose between 0.7% and 1.7%, after being the top performers. they fell on Friday on fears of new travel restrictions.

Oil stocks also lifted the regional benchmark index, adding 1.8% as crude prices rallied on speculation that OPEC + could pause a rise in production in response to the omicron spread. [O/R]

For her part, Isabel Schnabel, a member of the governing council of the European Central Bank, said that inflation peaked in November and that it would be premature to tighten monetary policy.

BT Group soared 7.7% after news broke that Indian oil and telecoms conglomerate Reliance is studying a bid for the British telecommunications company.

Auto parts group Faurecia fell 5.6% after cutting its full-year forecast, signaling a drop in European car production.

(Report by Anisha Sircar in Bengaluru; editing by Arun Koyyur; translation by Darío Fernández)

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