(Reuters) – European shares fell on Monday as rising government bond yields prompted investors to pull out of stocks at the end of a positive year for regional markets.
The pan-European index was down 0.4% by 0819 GMT, with technology and industrial goods producers leading broad-based declines.
Trading volume was light ahead of the New Year holiday, with several markets in Europe set to close early on Tuesday.
The yield on the 10-year German Bund traded at its highest level since mid-November, trailing U.S. Treasury yields as uncertainty over next year’s monetary policy and the prospect of inflationary measures under the Trump presidency weighed on investor sentiment.
The STOXX 600 is still on track for a 5.9% year-to-date gain, with German stocks leading regional gains and French stocks trailing.
Siemens (ETR: ) Healthineers fell 0.6% after Siemens AG (OTC: ) Chief Financial Officer Ralf Thomas told the Handelsblatt newspaper that the German technology group is reviewing its majority stake in its medical technology unit.
BayWa rose 21% after the Munich-based agricultural supplies and products retailer said it had reached a restructuring agreement with its major shareholders and financiers.
