China cuts 5year loan prime rate by 15 bps
STOXX ends week lower, erases big declines from earlier
Richemont cautious on China growth
Other luxury stocks slide

May 20 Reuters European shares rose on Friday, with a boost from defensive sectors after hopes of an economic recovery in major trading partner China were bolstered by more central bank stimulus, though they still ended the week in the red.

China39;s central bank cut its fiveyear loan prime rate by a largerthanexpected 15 basis points bps, boosting global market sentiment even as COVID19 cases in Shanghai climbed again.

Travel and tourism stocks, financial services, healthcare and utilities led gains in Europe, rising between 1.5 and 2.0, lifting the panEuropean STOXX 600 index 0.7.

Over the week, though, the main index was down 0.5.

It is not surprising perhaps that we have a little bit of a bounce today given the good news from China overnight and as we have had some very negative days this week, said Jonathan Bell, chief investment officer at Stanhope Capital.

Global stock markets saw another volatile week as recession fears gripped investors after weak Chinese retail sales data and dismal results from big U.S. retailers highlighted the impact from surging inflation.

Over the week, European retail and food and beverage stocks lost 2.2 and about 5, respectively, while miners outperformed, rising 4.4.

Data on Friday showed British retail sales jumped unexpectedly in April, but the outlook for…