Europe: Stocks flat as commodity shares offset earnings jitters

[BENGALURU] European stocks kicked off the week's trading nearly flat on Monday as surging commodity prices supported oil and mining shares, but nerves around inflation and the upcoming earnings season weighed on sentiment.

The pan-European Stoxx 600 index slipped 0.02 per cent in early trading, with travel and leisure falling the most.

However, gains in banking and commodity-linked stocks such as energy and mining helped limit losses.

Brent crude jumped over 1.5 per cent to US$83.59 a barrel as an energy crisis gripping major economies showed no sign of easing, while Dalian coking coal scaled a contract high as a recent flooding in China's top coal-producing Shanxi province intensified supply fears.

Among stocks, British online fashion retailer Asos tumbled 14.2 per cent after it warned that higher logistics costs and supply chain disruption could force 2022 profits to drop by more than 40 per cent and said chief executive Nick Beighton was stepping down.

German real estate investor Adler Group slipped 1.3 per cent after it agreed to sell residential and commercial property worth 1.49 billion euros (S$2.33 billion) to rival LEG Immobilien.

REUTERS