European shares extended morning gains on Thursday in slow pre-Christmas trade as traders punted on hopes the Omicron Covid variant would not overwhelm health systems and lead to further restrictions.
The pan-European Stoxx 600 index was up 0.58% in early deals in thin volumes with all regional bourses higher.
Research from London’s Imperial College indicated the risk of hospitalisations for patients with Omicron may be 40% – 45% lower than for those with the Delta variant.
A separate South African study found people diagnosed with Omicron in the country between October 1 and November 30 were 80% less likely to be admitted to hospital than those diagnosed with another variant in the same period.
Travel and leisure shares were up as a result, with British Airways and Iberia parent IAG, easyJet, Wizz Air and Deutsche Lufthansa higher, along with engine maker Rolls-Royce, Premier Inn owner Whitbread and WH Smith.
Shares in Philips rose after the company said test results of the volatile organic compounds emissions of the first-generation DreamStation sleep devices showed that exposure to the VOC’s identified so far isn’t anticipated to result in long-term health consequences for patients.
The company in June issued a voluntary recall notification for some of its sleep and respiratory care products to address potential health risks related to the polyester-based polyurethane sound abatement foam in the devices.
AstraZeneca shares made slight gains after the pharma company said a three-dose course of its Covid-19 vaccine was effective against the Omicron variant, citing data from an Oxford University lab study.
Flutter Entertainment shares were up after the company said it would buy Italian online gaming operator Sisal for £1.62bn, as the online betting group looks to expand its footprint in Europe.
Continental was up after its chief executive said in a magazine interview that the German automotive supplier could hit the upper end of its profit margin outlook in 2021 after vehicle production picked up in the fourth quarter.
