European Stocks Losing Momentum After a 5-Day Rally

European stocks faced difficulties to gain momentum today, Friday, after a strong rally this week, as Italy and France recorded record numbers of cases of Coronavirus, while the counting of votes in the US elections continues.

The pan-European STOXX 600 index fell 0.1%, after five days of gains that put the index on track to achieve its best weekly performance since early April.

France, which is already subject to national isolation measures, recorded a daily record of COVID-19 cases for the second time in four days, and Italy saw the highest daily rate ever for the number of cases on Thursday.

Markets were also under pressure as the heavyweight tech and healthcare sectors retreated after strong gains this week.

Democratic candidate Joe Biden is close to winning over Republican President Donald Trump in the race for the White House, but the result is still unclear as Trump’s votes and claims continue to be counted without evidence that the election was “stolen” from him.

Insurers received a boost after Germany’s Allianz rose 2.8% after it reported a surprising 6% increase in its third-quarter net profit.