European shares rise cautiously after two-day decline

June 02, 2022: European shares bounced back on Thursday, led by tech and healthcare names, with gains limited by a slide in energy stocks and worries over slowing economic growth.

The pan-European STOXX 600 index. STOXX rose 0.4% by 0719 GMT. Volumes are expected to be subdued as London markets are closed for Queen Elizabeth's Platinum Jubilee bank holidays.

Oil stocks.SXEP slipped as crude prices fell on reports that Saudi Arabia may boost production in response to urging from the United States. An OPEC+ meeting was also eyed for production clues. O/R

Eurozone producer prices data for May, due in the morning session, is expected to show that prices likely fell month-on-month but gained year-on-year.

Investors will also be watching U.S. private employment data due later in the day.

Fears about slowing growth have gripped markets recently as inflation surges and central banks scramble to tame it without tipping economies into recession. The STOXX 600 is on course to end the week about 0.8% lower.

Among other stocks, Scandinavian Airline SAS SAS.ST jumped 4.4% on a report that a group of foreign investors is exploring a takeover.

Reuters