Stoxx 600 Retreats as Tech Shares Slide, Zalando Under Probe

The pan-European STOXX 600 fell 0.46% to 637.27 at 0711 GMT on Friday, retreating from the record closing level set in the previous session. The index opened lower across sectors, though it remained on course to post a weekly gain.

European technology stocks led declines after weaker Asian equity sessions and lower US futures. The technology segment fell about 1.5% in early trade amid concerns over rising memory chip costs driven by strong demand for artificial intelligence applications.

Semiconductor companies were among the biggest losers. Infineon fell 2.9% and STMicroelectronics dropped 3.2%. Semiconductor-equipment names also fell, with BE Semiconductor down 3.5% and ASML slipping 1.2%. Telecom stocks traded lower, with Ericsson off 1% and Nokia down 2.1%.

Online fashion retailer Zalando declined 4.4% after Germany’s financial regulator, BaFin, opened an investigation into the company’s 2025 financial statements. BaFin launched the probe after evidence suggested possible breaches of accounting rules in the 2025 accounts. The retail sector fell about 0.5% on the news.

Automakers were affected by the same chip-cost concerns, with the sector down 0.4% as investors assessed potential effects on vehicle production and margins. Market attention remained on global technology demand, semiconductor cost trends and any further developments from BaFin’s inquiry into Zalando’s accounts.