FX.co ★ European Stocks Fall in September & Q3

European equities finished September on a weak note on Wednesday, as higher global bond yields and ongoing inflation worries dampened risk appetite ahead of the fourth quarter. The STOXX 50 slipped 0.8%, while the broader STOXX 600 lost 0.4%, with most sectors closing in the red. Banks declined about 0.5%, and energy as well as food & beverage shares were among the poorest performers, each dropping 1.4%. In contrast, technology stocks outperformed, advancing 2.5% to their highest level in a month and topping the sector rankings. On a monthly basis, performance was softer overall, with both the STOXX 50 and STOXX 600 falling more than 2% in September. For the STOXX 600, this pullback ended a five-month streak of monthly gains. Over the third quarter, both indices slipped 1%, underscoring a challenging environment for European equities.