BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - Despite exhibiting some strength earlier in the day amid rising optimism about coronavirus vaccine, the major European markets settled lower on Monday as worries about rising new cases and fresh lockdown restrictions in several places across the continent weighed on sentiment.
Investors were also closely tracking updates on Brexit deal, the latest batch of economic data from the euro area, and corporate earnings and other news, for direction.
The pan European Stoxx 600 slid 0.2%. The U.K.'s FTSE 100 shed 0.28%, while Germany's DAX and France's CAC 40 edged down by 0.08% and 0.07%, respectively. Switzerland's SMI ended down 0.3%.
Among other markets in Europe, Denmark, Iceland, Ireland, Russia, Sweden and Turkey closed weak.
Austria, Belgium, czech Republic, Finland, Greece, Norway, Poland and Portugal ended weak, while Spain and Netherlands settled flat.
In the UK market, Polymetal International slid more than 5%. Halma, Fresnillo, AstraZeneca, Homeserve, Just Eat Takeaway, Johnson Matthey, B&M, British American Tobacco, 3i Group and Tesco lost 2 to 4.4%.
Among the gainers, Rolls-Royce Holdings surged up 7.6%. IAG gained 5.5% and Royal Dutch Shell advanced 4.7%, while Lloyds Banking Group, Whitbread, Glencore, BHP Group, Evraz, Anglo American and Associated British Foods gained 2 to 4.5%.
Shares of insurance company Aviva Plc rose about 2% after the company said it has agreed to sell its entire 80% shareholding in the Italian life insurance joint venture, Aviva Vita S.p.A., to its partner UBI Banca.
In the German market, Thyssenkrupp shares surged up nearly 10%. Deutsche Bank and Lufthansa both gained more than 3%. Siemens, Continental, BASF, MTU Aero Engines, HeidelbergCement and Covestro gained 1 to 2%.
On the other hand, Deutsche Wohnen, Vonovia, Wirecard, Deutsche Post, Beiersdorf and Volkswagen lost 1.2 to 4%.
In France, Danone, Dassault Systemes, Hermes International, Carrefour, Sanofi and Air Liquide lost 2 to 3%. L'Oreal, Capgemini, Orange and Michelin also ended notably lower.
Among the gainers in the CAC 40 index, Unibail Rodamco spurted more than 5%. Credit Agricole gained nearly 5% after its Italian unit launched an offer to buy Italian bank Credito Valtellinese (Creval).
Total, Renault, Technip and ArcelorMittal also moved up sharply. Accor, Societe Generale, Valeo, BNP Paribas and Airbus Group too closed with strong gains.
After positive updates from Pfizer and Moderna, there is something more to cheer on the vaccine front now, with AstraZeneca and Oxford University announcing that their vaccine for the novel coronavirus could be around 90% effective under one dosing regimen.
The FDA's outside advisers are slated to meet on Dec. 10 to review Pfizer's emergency-use application for its vaccine.
In economic releases, the Eurozone manufacturing purchasing managers index (PMI) fell to a three-month low level of 53.6 in November from 54.8 in October, according to the preliminary report from IHS/Markit Research. The Services PMI dropped to a six-month low level of 41.3.
The French private sector contracted at the fastest pace in six months in November amid fresh Covid-19 lockdown, flash survey data from IHS Markit showed.
The composite output index fell to 39.9 in November from 47.5 in October. Nonetheless, the reading was above economists' forecast of 34.0.
The flash services Purchasing Managers Index dropped to 38.0 from 46.5 a month ago. The reading was forecast to fall to 37.7.
The manufacturing PMI came in at 49.1 in November versus 51.3 in the previous month. The score was expected to drop moderately to 50.1.
Germany's private sector growth moderated to a five-month low in November amid tightening of Covid-19 restrictions, flash survey data from IHS Markit showed Monday.
The composite output index dropped to 52.0 in November from 55.0 in October. The reading was forecast to fall sharply to 50.4.
At 46.2, the services Purchasing Managers' Index reached a 6-month low. The score was forecast to drop to 46.3 from 49.5 in October.
At the same time, the factory PMI came in at an elevated level of 57.9, but down from 58.2 a month ago. The expected reading was 56.5.
The UK private sector contracted the most in six months in November, flash survey results revealed. The IHS Markit/Chartered Institute of Procurement & Supply composite output index dropped to 47.4 in November from 52.1 in October.
Copyright RTT News/dpa-AFX