European Stocks Edge Down Amid Worries Over the EU Recovery Fund

This content was published on September 30, 2020 - 16:13

(Bloomberg) -- European stocks ended slightly lower, trimming their advance over the third quarter, after Germany warned that delays to the European Union’s recovery fund are almost inevitable due to governance disputes.

The Stoxx 600 Index fell 0.1% at the close, with nine of 20 sectors in negative territory. Banks were among the best performers on Wednesday, but were the biggest laggards over the past three months, sliding more than 12%.

Compass Group Plc slumped after the British caterer said the pace of recovery was still uncertain, dragging the consumer-products and services subgroup down to the bottom of the gauge.

Although European stocks have been largely range-bound over the third quarter, with the Stoxx 600 Index little changed over the period, concerns of further restrictions to contain the spread of the coronavirus and their impact on businesses has seen the European equity benchmark dip 1.5% in September. Banks, insurers and travel stocks have been among the biggest sectoral losers this month.

©2020 Bloomberg L.P.

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