# European stocks rise on bargain-hunting, erase weekly losses Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2021-07-09 Category: INVESTING Category URL: https://financedigest.com/category/investing Meta Title: European Stocks Surge 1% as Investors Seek Bargains Meta Description: European stocks gained more than 1% on Friday, bouncing back from this week's losses as investors sought bargains after a global sell-off worries. URL: https://financedigest.com/european-stocks-rise-on-bargain-hunting-erase-weekly-losseshtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2021-07-09t162404z1lynxnpeh680zirtroptp4europe-stocks-1736838201462-compressed.jpg) (Reuters) -European stocks jumped more than 1% on Friday, posting their best session in two months and erasing all of this week’s losses, as investors sought bargains after one of the worst sell-offs this year on global economic recovery worries. The pan-European STOXX 600 index gained 1.3%, with sectors that took a hit earlier this week such as automakers and miners surging 4% and 3.4%, respectively. The mining sector marked its best session in two months. French stocks rose by the most in four months, advancing 2.1% and leading [gains among major European](https://www.financedigest.com/european-shares-set-for-weekly-gain-on-u-s-inflation-outlook.html "European shares set for weekly gain on U.S. inflation outlook") bourses. Banks were up 2.4%, but were the [hardest hit](https://www.financedigest.com/digital-divide-hits-rural-black-americans-hardest.html "‘Digital divide’ hits rural Black Americans hardest") this week as government bond yields dropped. \[GVD/EUR\] A [fresh surge](https://www.financedigest.com/londons-ftse-100-hits-fresh-record-high-as-telecoms-surge.html "London’s FTSE 100 hits fresh record high as telecoms surge") in COVID-19 cases and underwhelming U.S. and Chinese economic data raised concerns about the strength of the recovery, boosting [bonds and sending the benchmark STOXX 600 1.1% lower on the week](https://www.financedigest.com/shares-and-bonds-nervy-as-rate-hike-week-looms.html "Shares and bonds nervy as rate-hike week looms") until Friday’s gains negated those losses. But with France saying the highly contagious Delta variant of COVID-19 will probably account for most new coronavirus cases in the country from this weekend, and [Spain’s tourism hotspots](https://www.financedigest.com/mallorca-emerges-as-this-years-summer-hotspot-as-british-buyers-return-to-spain-in-their-masses.html "MALLORCA EMERGES AS THIS YEAR’S SUMMER HOTSPOT AS BRITISH BUYERS RETURN TO SPAIN IN THEIR MASSES") asking the government to bring back curfews, the path out of a pandemic-induced economic slump still looks challenging. “This sort of angst is nothing new for markets. However, the slide in yields is telling us that the recovery is either in trouble, or merely being delayed,” CMC [Markets’ Michael Hewson said in a note](https://www.financedigest.com/the-chelated-iron-agricultural-micronutrient-market-to-escalate-on-a-holistic-note.html "The Chelated-Iron Agricultural Micronutrient Market To Escalate On A Holistic Note"). Much is likely to depend on the vaccine rollout plans, and the speed with which it can be [rolled out in the countries](https://www.financedigest.com/google-to-roll-out-anti-disinformation-campaign-in-some-eu-countries.html "Google to roll out anti-disinformation campaign in some EU countries") where cases are rising sharply. UK airlines such as British Airways-owner IAG, easyJet and Ryanair rose between 0.5% and 1.9%, as Britain planned to scrap quarantine for fully-vaccinated arrivals from other [countries in the coming weeks](https://www.financedigest.com/eu-countries-eye-deal-on-more-energy-measures-within-weeks.html "EU countries eye deal on more energy measures within weeks"). [Data released earlier showed UK’s post-lockdown economic rebound slowed sharply in May despite](https://www.financedigest.com/stocks-u-s-dollar-gain-despite-surprise-weak-china-data.html "Stocks, U.S. dollar gain despite surprise weak China data") an easing of COVID-related restrictions. French planemaker [Airbus gained 3.4% after it reported a 52% jump in deliveries](https://www.financedigest.com/airbus-may-delay-some-2023-jet-deliveries-sources.html "Airbus may delay some 2023 jet deliveries: sources") in the first half of the year. [British luxury goods group Burberry rose 3.8% after Goldman Sachs upgraded the stock](https://www.financedigest.com/looks-arent-everything-british-supermarkets-to-stock-misshapen-fruit-amid-drought.html "Looks aren’t everything – British supermarkets to stock misshapen fruit amid drought") to “buy”, while Italian rival Salvatore Ferragamo slipped 0.7% after the U.S. [bank downgraded it to “sell”](https://www.financedigest.com/bank-of-england-sets-out-plans-to-sell-23-billion-corporate-bond-stockpile.html "Bank of England sets out plans to sell billion corporate bond stockpile"). Investors will now [turn their focus](https://www.financedigest.com/entrepreneurs-worldwide-turn-their-focus-towards-doing-good.html "ENTREPRENEURS WORLDWIDE TURN THEIR FOCUS TOWARDS DOING GOOD") to the earnings season, which kicks off in earnest next week. The bulk of the [European companies are expected to report later this month](https://www.financedigest.com/european-shares-hit-nine-month-high-dollar-wobbles-after-powell-remarks.html "European shares hit nine month high, dollar wobbles after Powell remarks"), with analysts forecasting a near-109% surge in second-quarter profit for STOXX 600 companies, according to Refinitiv IBES data. (Reporting by Sruthi Shankar and Susan Mathew in Bengaluru; editing by Uttaresh.V, Aditya Soni) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---