* STOXX 600 falls after for first time in seven days
* Oil stocks skid as China prepares for reserve release
* Germany, France, Swiss stocks retreat from record highs
(Recasts lead, adds comments, updates prices throughout)
By Anisha Sircar and Shreyashi Sanyal
Nov 18 (Reuters) - European shares ended lower on Thursday,
weighed by weakness in commodity-related stocks amid declining
oil and metal prices, and breaking a record-breaking six-day
rally fuelled by strong earnings.
The pan-European STOXX 600 index dropped 0.5%, its
first fall in seven sessions, with energy stock and
miners dropping about 2% each.
Oil stocks were hit by plunging crude prices on worries of a
supply overhang and the prospect of China moving to release
strategic fuel reserves, while miners slipped as copper prices
fell to their lowest in more than a month.
European stocks started the day on stable footing, with
Germany's DAX, Switzerland's SMI and France's
CAC 40 all touching record highs earlier in the session,
but giving up those gains by the close.
Stronger-than-expected earnings season and accommodative
monetary policy have helped drive the STOXX 600 to record highs
recently. However, uncertainty has crept in about a resurgence
in COVID-19 cases and the extent of lockdowns needed to curb the
spread of the disease.
"Speculation over a Christmas lockdown in the UK does raise
risks for stocks, but questions over how wide-reaching such
measures would be does bring uncertainty over who the winners
and losers would be in such an instance," said Joshua Mahony,
senior market analyst at IG.
Latest Refinitiv data shows profits of companies listed on
the STOXX 600 are expected to rise 60.4% in the third quarter to
103.6 billion euros ($117.2 billion) from a year earlier, a dip
from last week's 60.7% estimate.
"The Eurozone has seen larger earnings upgrades than other
regions, and we forecast 60% earnings growth this year,"
analysts at Swiss bank UBS wrote in a note.
Daimler gained 1.7% after Berenberg initiated
coverage on the German carmaker with a "buy", saying it expects
the recently spun-off Daimler Truck to bring higher returns.
Submarines-to-steel group Thyssenkrupp jumped 6.3%
after it said profit could more than double next year and it may
take its hydrogen unit public.
Playtech rose 3.9% after receiving a takeover bid
from JKO Play Ltd, a firm co-owned by former F1 boss Eddie
Jordan. JKO joins several takeover bids for the British online
gambling software developer.
German auto supplier Continental fell 3.1% after
it announced the departure of its chief financial officer
following a probe into the illegal use of defeat devices in
diesel engines.
(Reporting by Anisha Sircar and Shreyashi Sanyal in Bengaluru;
Editing by Amy Caren Daniel and Bernadette Baum)