European shares extend recovery; travel stocks gain

August 24, 2021: European stocks extended their recovery on Tuesday after a full U.S. approval of a COVID-19 vaccine boosted Wall Street to record highs, while latest data showed a stronger-than-expected economic recovery in Germany.

The pan-European STOXX 600 index rose 0.3% by 0711 GMT after last week's sell-off knocked it lower by 3% from its record highs.

Travel and leisure, technology and mining stocks were the top gainers, up between 0.9% and 1.2%.

Wall Street's Nasdaq reached an all-time closing high after U.S. health regulators granted full approval to the COVID-19 vaccine developed by Pfizer Inc and BioNTech SE in a move that could accelerate U.S. inoculations.

Meanwhile, data showed Germany's gross domestic product grew by 1.6% on the quarter from April to June, slightly up from its previous estimate of 1.5% as private consumption and state spending helped.

Marks and Spencer Group rose 3.1% to the top of the STOXX 600 after Berenberg and Credit Suisse raised their price targets on the company's stock.

Reuters