European Shares Slip on Interest Rate Hike Expectations

European shares fell on Friday amid risk aversion on interest rate hike expectations and geopolitical tension in Ukraine, but some strong business results capped losses.

The pan-European Stoxx 600 index fell 0.8 percent, heading for its fourth consecutive weekly decline. Auto and chemical stocks were the top losers.

But luxury goods group LVMH rose 2.5 percent after a surge in sales growth in the fourth quarter. Kering also rose 0.1 percent, while Hermes rose 0.4 percent.

Sweden’s H&M shares jumped 6.3 percent after the fashion company posted a bigger-than-expected profit increase between September and November.