MILAN, June 16 European shares bounced back from
two days of losses on Friday as auto stocks rose following
higher car sales in May and a strong update from Tesco
offered relief to the battered retail sector.
The pan-European STOXX 600 index rose 0.5 percent
in early trades while Britain's FTSE gained 0.3 percent.
Tesco was among the leading gainers, up more than 2
percent, after Britain's biggest retailer released a first
quarter update that showed UK like-for-like sales growth of 2.3
percent that beat analyst expectations.
Its gains helped European retailers over part of the
heavy losses suffered in the previous session when UK data
showed consumers are feeling the impact of rising inflation.
Autos rose 0.8 percent after data showed that
European car sales returned to growth with a rise of 7.7 percent
While Friday's gains were spread across the market with all
sectors in positive territory, European and British indices were
on track to end lower for the second week in a row, weighed by
fresh growth worries, valuation concerns and political
uncertainty in the UK.
(Reporting by Danilo Masoni, Editing by Vikram Subhedar)