European Shares Tempers as Mining Stocks Slip Amid Gold Price Retreat

European shares saw a slight decrease, pausing record highs as lower gold prices impacted mining stocks. Defence and healthcare sectors showed gains, counterbalancing declines in luxury goods. Despite intra-day volatility, the week marked the fifth consecutive rise, showing resilience amid shifting geopolitical influences.

European shares saw a slight decline on Friday, as falling gold prices hit mining stocks, resulting in a 0.2% drop in the STOXX 600 by 0922 GMT. This came just a day after reaching a record high, curbing the week's earlier gains driven by a slew of earnings updates. The fall in mining stocks by 1% followed easing geopolitical tensions impacting gold prices, contrasting with a 1.3% rise in defence stocks after two days of losses.

The healthcare index similarly showed strength, gaining 0.3% as investor confidence in Novo Nordisk boosted returns, post-approval of a new obesity drug dose by the UK health regulator. Contrasting this, the luxury index suffered a 2.1% dip, reaching a three-month low amid consumer demand concerns exacerbated by the Saks Global bankruptcy and e-commerce pressures.

Despite Friday's minor pullback, the STOXX 600 maintains its longest weekly gain streak since May, highlighting the enduring strength in broader European markets. Notable movements included a substantial 29% rise in Kloeckner & Co shares following a takeover bid from Worthington Steel, and ASML slight gains, solidifying its significant market value.

(With inputs from agencies.)