(For a live blog on European stocks, type LIVE/ in an Eikon
news window)
* Wall St bounce helps STOXX 600 hold ground
* Total jumps after hiking renewables spending
* STOXX 600 ends Q3 nearly flat
(Updates to market close)
By Sruthi Shankar
Sept 30 (Reuters) - European shares closed nearly flat on
Wednesday after their U.S. peers rose on hopes of fresh
stimulus, helping dispel early gloom over surging coronavirus
cases and uncertainty about the U.S. presidential election.
The continent's bourses trimmed their morning losses, and
the pan-European STOXX 600 ended the day 0.1% lower
while euro zone stocks slipped 0.3%.
A messy face-off between U.S. President Donald Trump and
Democratic rival Joe Biden overnight kept risk assets under
pressure earlier in the day as Trump cast doubt on whether he
would accept the election outcome if he lost.
But Wall Street mood improved, with the main indexes jumping
more than 1% after U.S. officials expressed hope for a
breakthrough on a COVID-19 relief package.
"After a slow start, U.S. indices have moved firmly into
positive territory. This has dragged Europe out of the red too,"
wrote IG's Chris Beauchamp.
The STOXX 600 closed out a volatile third quarter nearly
flat, and posted a 1.5% decline for September as worries about a
second wave of COVID-19 infections hampering Europe's economic
recovery and doubts about a Brexit trade deal came to the fore.
Britain reported more than 7,000 COVID-19 cases for the
second day in a row, and several European countries looked at
tightening restrictions in an effort to contain the spread of
the virus over autumn and winter.
A handful of M&A activity drove big moves, with TP ICAP
, the world's biggest inter-dealer broker, slumping
16.4% to the bottom of STOXX 600 after saying that it was in
talks to buy electronic trading network Liquidnet Holdings for
$600 million to $700 million.
Dutch specialty chemicals company DSM rose 4%
after Germany's Covestro said it would buy its resins
and functional materials unit for about 1.6 billion euros ($1.88
billion). Covestro slid 7%.
French waste and water management company Suez SA
jumped 5.9% after bigger rival Veolia raised its offer
to buy a stake in the company.
Oil major Total gave the biggest boost to the
markets, rising 3.1% after saying it would hike its annual
investments in renewable energy and electricity by 50% amid
gloomy long-term prospects for oil demand.
Another energy player Royal Dutch Shell slipped
1.3% after announcing plans to cut over 10% of its workforce.
The broader oil & gas index, among the worst
performers in Europe alongside banks this year, rose
0.9%.
(Reporting by Sruthi Shankar; Editing by Shounak Dasgupta)
