European Stocks Decline, Ending Best Winning Streak Since July

European stocks fell for the first time in seven days as commodity producers reversed early gains and ended their longest rally since 2000.

Glencore Plc slipped 6.2 percent, erasing an advance of 5.2 percent. Kynikos Associates LP founder Jim Chanos hinted that he is short the stock. Rolls-Royce Holdings Plc and Safran SA lost 3.9 percent or more after a report that European regulators have started a probe into whether airlines are being forced to enter anti-competitive service contracts.

The Stoxx Europe 600 Index lost 0.3 percent to 361.79 at the close of trading, erasing an intraday gain of as much as 0.3 percent. The gauge climbed 4.3 percent last week, following its worst quarterly slide since 2011, as investors speculated the Federal Reserve won’t rush to raise rates and commodity producers rallied.

The volume of Stoxx 600 shares changing hands today was 21 percent lower than the 30-day average. While U.S. exchanges remain open, trading may be lighter because of the Columbus Day federal holiday.

Investors are also watching central-bank activity for signs of support for the global economy. While March is the first month for which traders are pricing in at least even odds of a U.S. rate liftoff, Fed Vice Chairman Stanley Fischer said over the weekend that there’s still a case for rates to rise by the end of the year.

Source: Bloomberg

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