European stocks decline for the seventh day as investor sentiment deteriorates

European stocks fell for the seventh consecutive session on Thursday, heading towards the longest losing streak in more than five years, affected by fears of a slowdown in the European economy and keeping US interest rates high.

By 0714 GMT, the European STOXX 600 index fell 0.4 percent, hitting its lowest level in a week. The last time it suffered a losing streak for seven consecutive days was in February 2018.

Interest rate-sensitive technology stocks fell nearly 1 percent as US Treasury bond yields rose after the release of stronger-than-expected US services sector data on Wednesday, raising concerns that stubborn inflation means interest rates will remain high for a longer period.

The Federal Reserve and the European Central Bank are scheduled to make monetary policy decisions this month.

In a new sign of the slowdown in Europe’s largest economy, data showed that German industrial output fell slightly more than expected in July.

On the other hand, Direct Line Group shares jumped 14.1 percent after the British car and home insurance company expected to achieve better operating profits in 2024.