Europe close: Stocks begin week on a positive note
European shares began the week on the front foot, following a positive session in Asia, which rallied on news China was lifting some Covid restrictions.
The pan-European Stoxx 600 index edged up 0.14% to 432.86, with all major regional bourses higher. Asia shares were also boosted by news that China was providing a rescue package for its beleaguered property sector.
However, the mood was also tempered by reports of a record number of Covid infections in several Chinese cities, despite the authorities easing some lockdown measures last week.
In equity news, shares in Roche fell 5% after the Swiss pharma group said its Alzheimer's drug candidate could not clearly be shown to slow dementia progression.
The news hammered Roche’s licensing partner MorphoSys, which slumped 28%.
Rheinmetall shares climed 13% as it announced a €1.2bn takeover of Expal systems, while UK events organiser Informa was higher after lifting earnings guidance.
Shares in digital ad group S4 Capital jumped as the company said it was on track to hit 2022 targets.
Housebuilder Redrow was knocked lower by a downgrade to ‘neutral’ at Citi, which cited a less attractive risk/reward, while Close Brothers was weaker after a downgrade to ‘sell’ at Investec.