European shares inch lower as telecoms, energy shares dip
On Friday, European equities slipped marginally, with telecom stocks driving the declines, although a surge in technology stocks kept the index on track for a weekly gain, Reuters reported. The pan-European STOXX 600 fell 0.2% to 641.57 points by 0717 GMT, after surging over 1% in the previous two sessions, edging close to a one-week high.
The benchmark STOXX index was poised for its maiden weekly rise in three days, amid a flurry of interest rate decisions by major central banks worldwide, including the US Federal Reserve and the Bank of England.
Telecommunication stocks took the brunt of the downturn, slumping 1.8% in early trade. Deutsche Telekom and Airtel Africa were among the hardest hit, declining 3.1% and 4.8%, respectively. Meanwhile, the food and beverages sector suffered a 1% dip as Nestle saw its shares fall 1.2% following Russia's seizure of the Swiss food giant's local assets.
Energy shares, too, experienced a 0.5% decline as oil prices dropped for a third consecutive day due to optimism over limited Saudi supply disruptions, but they remained above the $100-per-barrel mark.
Despite these negatives, technology shares managed to offset some of the losses, with a gain of 0.9%. Chip-related companies Aixtron and Infineon Technologies spearheaded the rally.
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