Virus recovery optimism muted for European stocks

20 May, 2021 12:00 AM printer

LONDON: European markets closed Tuesday little moved after earlier flurries of post-coronavirus optimism, while US stocks were mixed as the inflation outlook and potential consequences for central bank policy remain unclear.

London, Frankfurt and the Euro Stoxx index were all close to flat, while Paris fell slightly, reports AFP.

European trading saw “a gain for the Information Technology sector suggesting a reprieve from recent inflation worries that have heavily impacted growth-related stocks and fostered some volatile action,” Charles Schwab analysts wrote.

Nevertheless, “optimism remains regarding the global economic recovery as vaccine rollouts gain steam in the US and Europe,” they added.

That optimism stood up to a 1.3-percent first-quarter contraction in Japanese GDP and a 0.6-percent fall in the 19-nation eurozone, revealed in official data releases.