UPDATE 2-European shares end 4-day winning streak as vaccine rally cools

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* Virgin Money UK shares fall on FY profit slump
* France to start easing COVID-19 lockdown
* British domestic stocks drop on Brexit uncertainty

(Updates to close)
By Shriya Ramakrishnan and Shashank Nayar
Nov 25 (Reuters) - European shares ended lower on Wednesday
as traders booked profits following sharp gains earlier this
month, with surging coronavirus cases also capping demand for
risky assets.
The pan-European STOXX 600 index .STOXX dropped 0.1%, with
energy .SXEP and automobile stocks .SXAP leading declines.
Energy stocks dropped 1.2% after gaining nearly 10% in the
past three trading sessions on the back of gains in crude
prices, which benefited from vaccine hopes and favourable
political scenarios in the United States.
But markets retreated from recent gains as coronavirus cases
in the bloc grew, and economic ructions from recent lockdowns
continued to be felt. Still, European equities were set for
their best month on record.
"The market has pulled a bit of risk off the table having
two contrasting effects at play, one with bets of improved
corporate earnings in contrast to expectations of central banks
pulling back stimulus measures as economic situations begin to
start getting better," said Andrea Cicione, head of strategy at
TS Lombard.
A Reuters poll expects the STOXX 600 to climb to 430 points
by the end of 2021, just a whisker below February's record
highs, as economic activity eventually returns to normal
following the coronavirus-induced downturn. British mid-caps lost 1.1% and were the worst performers
among European indices after the EU's chief executive said the
European Commission cannot guarantee there will be a trade pact
with Britain after its departure from the EU, and the coming
days will be crucial. UK's finance minister Rishi Sunak announced borrowings
amounting to around 400 billion pounds this year to pay for the
massive coronavirus hit to its economy, with the worlds
sixth-biggest economy set to shrink by 11.3% in 2020: its worst
performance in more than 300 years. Germany and the United Kingdom unveiled plans to allow
gatherings with limitations for Christmas, while France will
start easing its lockdown this weekend after a sharp drop in new
infections and hospitalizations. French President Emmanuel Macron said on Tuesday a vaccine
could start being administered as soon as the end of the year if
approved by regulators. German stocks .GDAXI ended flat while France's CAC 40
.FCHI gained 0.2%.
In company news, Virgin Money UK VMUK.L dropped 4.8% after
the lender reported a slump in annual profit as it took an
impairment charge against an expected surge in bad loans.
German media group Bertelsmann BTGGg.F gained 0.6% after it
agreed to purchase publisher Simon & Schuster for $2.175 billion
in cash from ViacomCBS, strengthening its presence in the United
States.
($1 = 0.7483 pounds)