European Shares Claw Back Losses Amid Recession Fears

European shares gained for the fourth consecutive session, recovering earlier losses triggered by U.S. recession fears. The STOXX 600 saw a 0.3% increase after a positive U.S. jobs report, cutting weekly losses to 0.02%. Basic resources and real estate sectors contributed significantly to the gains.

European shares ticked higher on Friday, set to gain for a fourth consecutive session, nearly erasing the week's earlier losses prompted by fears of a U.S. recession that led to a global sell-off.

The STOXX 600 gained 0.3% by 0708 GMT after an encouraging U.S. jobs report helped ease investor concerns about the world's largest economy. The four-session rally, not seen for nearly three months, reduced the pan-European index's weekly loss to just 0.02%.

Basic resources rose 1.4% in line with base metal prices recovering on positive U.S. data. U.S. jobless claims fell more than expected last week, indicating that worries about a deteriorating labor market were exaggerated. Concerns arose from a grim U.S. nonfarms payroll report that triggered a global sell-off on Monday, but subsequent economic data and U.S. central bank officials' comments have since calmed those fears. Among individual stocks, LEG Immobilien, Germany's major listed landlord, surged 5% after posting a smaller-than-expected second-quarter loss. This gain helped lift the real estate sector by 1.3%.