(Reuters) – European stocks fell at the end of a holiday-shortened week, with traders focusing on economic data for clues on the path of interest rates as well as possible changes in U.S. policies under Donald Trump's presidency.
The pan-European STOXX 600 index was down 0.1% by 0815 GMT, but looked on track for a 0.7% gain for the week, marked by light trading activity as traders returned from their New Year break.
Swiss stocks rose 0.5% in their first trading session of 2025, while Germany's DAX fell 0.2% and France's CAC 40 slipped 0.5%.
Sectors exposed to China such as miners and carmakers came under pressure even after an official in Beijing said China would sharply increase funding from long-dated treasury bonds in 2025 to spur business investment and consumer-boosting initiatives.
Investors have been worried about China's economy and a looming trade war with the United States ahead of Donald Trump's presidential inauguration on January 20.
Among stocks, Tullow Oil rose 12.5% after the West African company said it would not have to pay $320 million in taxes following an International Chamber of Commerce ruling on its operations in Ghana.
(Reporting by Sruthi Shankar in Bengaluru; Editing by Mrigank Dhaniwala)