European Stocks Decline Most Since Late March as Yields Rise

European stocks fell by the most since March as the latest rise in oil prices fanned inflation fears and worsened a global bond selloff.

The Stoxx 600 declined 1.5% on Friday as risk sentiment spluttered in the face of rising bond yields. Rate-sensitive sectors such as banks, utilities and real estate saw broad based weakness, while the pullback in metals from gold to copper led miners lower after a strong week. Energy stocks were the one bright spot, while healthcare and consumer staples outperformed as investors sought out defensive plays.