European stocks fell on Thursday following sharp losses on Wall Street as investors feared another round of shutdowns due to soaring coronavirus cases in the United States.
The pan-European STOXX 600 was down 0.9% in morning session, with growth-sensitive oil and gas, banking, mining and travel sectors falling the most.
The sectors have rallied strongly in November, helped by encouraging news on COVID-19 vaccine that pushed the STOXX 600 to eight-month highs this week.
Defensive healthcare and utilities posted small losses.
U.S. stocks came off all-time highs as the death toll in the country from COVID-19 approached 250,000 on Wednesday and New York City’s public schools called a halt to in-classroom instruction in the latest major restriction to curb the spread of the virus.
Investors have been weighing the consequences of tighter restrictions globally on economic growth against hopes of a COVID-19 vaccine supporting a recovery.
European Central Bank President Christine Lagarde called on EU leaders to end a potentially damaging budget impasse and repeated a promise to keep monetary policy super easy.