European Markets Close On Mixed Note

European markets closed mixed on Monday with stocks recovering some lost ground after investors reacted positively to news about U.S. President Joe Biden deciding to appoint Jerome Powell as the Chairman of the Federal Reserve for a second term.

Worries about growth due to a surge in coronavirus cases across Europe and fresh restrictions on movements on several countries in the continent weighed on sentiment.

In Germany, Chancellor Angela Merkel said the country needs tighter restrictions to control the fourth wave of coronavirus infection. Austria and Netherlands have already restored lockdown measures.

Meanwhile, the People's Bank of China deleted several phrases in its latest monetary policy report, a move that economists say signals a shift toward more supportive monetary policy.

The pan European Stoxx 600 drifted down 0.13%. Germany's DAX and France's CAC 40 shed 0.27% and 0.1%, respectively, while the U.K.'s FTSE 100 climbed 0.44%. Switzerland's SMI declined 0.27%.

Among other markets in Europe, Austria, Finland, Iceland, Norway, Portugal, Spain and Turkey closed higher.

Belgium, Czech Republic, Denmark, Greece, Ireland, Netherlands, Russia and Sweden ended weak, while Poland settled flat.

In the UK market, Antofagasta rallied more than 5%. Vodafone Group, BHP Group, Royal Mail, BT Group and BP gained 2.4 to 3.1%.

Rio Tinto, Imperial Brands, Kingfisher, Natwest Group, Lloyds Banking Group, British American Tobacco, Associated British Foods, B&M European Value Retail, HSBC Holdings, Anglo American Plc and Sainsbury (J) gained 1 to 2%.

Marks and Spencer gained 2.4% after reports that U.S. investment firm Apollo Global Management is mulling a buyout of the U.K. retailer.

Polymetal International and Darktrace declined 4.4% and 3.5%, respectively. ITV, Informa, Aveva Group, Flutter Entertainment, Berkeley Group Holdings, Sage Group, Intertek Group and Prudential shed 1 to 1.6%.

In France, WorldLine, Atos, Capgemini, Hermes International, LOreal, Dassault Systemes, Teleperformance, Kering and Safran shed 1 to 3%.

Michelin, Orange, ArcelorMittal, Credit Agricole, Vivendi, Publicis Groupe, BNP Paribas, Societe Generale, Technip and Carrefour gained 1.3 to 2.5%.

In the German market, Zalando, SAP, Sartorius, Vonovia, Deutsche Wohnen and HelloFresh lost 1.4 to 4%.

Deutsche Telekom declined more than 2.5%. BMW, Daimler and Continental gained 1.3 to 1.7%.

Telecom Italia climbed more than 30% after a $12 billion bid from U.S. fund KKR to take Italy's largest phone group private.

Germany's economic recovery is likely to take a breather this autumn as the supply chain issues continue to weigh on industrial output, Bundesbank said in its monthly report, released Monday.

The central bank observed that risks from an intensified pandemic would exist throughout the winter half-year.

"As things stand at present, the macroeconomic effects are likely to be less severe than in previous pandemic waves," the bank said.

Euro area consumer confidence deteriorated for a second straight month and at a faster than expected pace in November to its lowest level in seven months, preliminary data from the European Commission showed Monday.

The flash Eurozone consumer confidence index fell to -6.8 from -4.8 in October. Economists had forecast a score of -5.5.

The latest reading was the weakest since -8.1 in April.

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