AMSTERDAM/LONDON: European shares ended lower on Wednesday as investors locked in gains after a five-month winning streak, with concerns over an eventual spike in inflation and the Delta variant of the coronavirus also pushing some money off the table.

The pan-European STOXX 600 closed 0.8% lower at 452.84 points but rose 1.4% in June, its fifth straight month of gains. The index is up 14.4% this year.

Automobile stocks were the worst performers of the day, shedding 1.9%. But the sector has raced past its peers this year with a more-than 25% jump.

The European benchmark stalled just a few points short of its biggest percentage gain in the first six months of a year since 1998, instead marking its best first half since only 2019, with a 13.5% rise.

Healthcare stocks were the best performers in June, adding 6.7%, while expectations of recovering demand saw retail stocks outpace their peers through the quarter to June, with a near 13% jump.

Expectations of a sharp recovery in economic growth have propelled the STOXX 600 to record highs this year. It also marked a fifth straight quarter of gains.

Swiss bank UBS hiked its 2021 GDP forecast for the euro zone to 5.1% from 4.3%. But the bank warned that the Delta variant could be a risk.

Concerns over the Delta variant saw travel and leisure stocks lag their peers in June, with a 4.9% loss.

High volatility at the end of the quarter saw the euro zone’s so-called “fear gauge” surge to as much as 19.5150 points, its highest level in more than a week.

In company news, Dutch eyewear store operator Grandvision surged 14.2% as Ray-Ban maker EssilorLuxottica said it had decided to go ahead with a planned takeover of the company. EssilorLuxottica’s shares were flat.

Indivior Plc jumped 6.4% after raising its annual revenue and profit forecast, encouraged by strong sales of its opioid addiction treatments in the first half of the year.

A flash reading showed Euro zone inflation fell to an annual rate of 19% in June, slightly below the central bank’s target of 2%.