European stocks rise the most in a week
On Friday European stocks rose the most in more than a week as auto-related shares and drugmakers bounced back from their biggest declines in months.
The Stoxx Europe 600 Index rose 0.4 percent at 8:31 a.m. in London, after falling 0.7 percent on Thursday. Sectors that led losses in the benchmark on Thursday were the biggest gainers: Carmakers recovered after tumbled the most since July following U.S. government accusations that Fiat Chrysler Automobiles NV violated pollution laws. Health-care shares rose for the first time in three days after sliding on concern over price pressures under Donald Trump’s U.S. presidency.
The rebound in the Stoxx 600 is helping to trim its biggest weekly decline in more than a month to 0.4 percent. Fiat Chrysler jumped 6.3 percent after Thursday’s 16 percent plunge. Chief Executive Officer Sergio Marchionne dismissed the U.S. allegations as “unadulterated hogwash.”
U.K. finance firms diluted their bid to retain unfettered access to the European Union after Brexit, accepting that Prime Minister Theresa May’s government is unwilling to fight their corner against EU resistance.
In a two-page summary of industry priorities for the upcoming negotiations released on Thursday, The City UK lobby group made no mention of its once key demand to safeguard so-called passporting, which allows banks with bases in London to service customers throughout the EU. The banks are now pushing for “mutual access” and additional time to adapt to the new regime.
The pull-back comes after May’s government made it clear the finance industry wouldn’t get any special status in the divorce talks. EU representatives and member governments have said they won’t accept passporting without May remaining in the single market and accepting free movement of people.
Asian stocks retreated from the highest close since October, led by a drop in technology and financial stocks. The MSCI Asia Pacific Index fell less than 0.1 percent as of 4:27 p.m. in Hong Kong.