European Shares Stabilize After Technology-Led Turmoil

European shares stabilized, after one of the worst market turmoil this year, as investors turned to defensive stocks of the healthcare sector amid persistent concerns about growth and inflation.

The pan-European STOXX 600 index rose 0.8 percent after tumbling 2.2 percent on Tuesday, its biggest one-day percentage drop since mid-July.

With widespread risk aversion, global stocks fell in the previous session, as government bond yields rose thanks to faster growth expectations for interest rate hikes and investors turning to high-growth technology stocks.

The European technology sector remained under pressure, rising only 0.5% after losing 4.8% yesterday.

ASML Holding NV, one of the biggest suppliers of computer chip makers, fell 1 percent despite the company raising its financial targets.

AstraZeneca gained 2.3 percent after it said its newly acquired Alexion unit would buy remaining equity in drugmaker Caillaume Biosciences in a deal that could be worth up to $500 million.