Investing.com - European stocks were lower on Tuesday, as investors were cautious ahead of the release of U.S. data later in the day, while markets continued to monitor political developments in Italy.
During European morning trade, the EURO STOXX 50 fell 0.24%, France’s CAC 40 declined 0.47%, while Germany’s DAX 30 dropped 0.48%.
Investors were awaiting U.S. reports on house price inflation and consumer confidence for further indications on the outlook for growth.
A recent series of disappointing U.S. economic indicators, including reports on jobs growth, retail sales and housing, have sparked concerns that the economic recovery has lost momentum since the end of last year.
In Italy, newly appointed Prime Minister Matteo Renzi detailed a program of change on Monday, pledging to cut labor taxes, free up funds for investment in schools and pass wide institutional reforms to tackle Italy's economic stagnation.
Renzi won his first confidence vote in parliament by 169 votes to 139 in a vote taken early Tuesday morning.
Financial stocks were broadly lower, as French lenders BNP Paribas and Societe Generale dropped 0.59% and 0.81%, while Germany's Deutsche Bank retreated 0.71%.
Among peripheral lenders, Italy's Unicredit and Intesa Sanpaolo slid 0.38% and 0.67% respectively, while Spanish banks BBVA and Banco Santander fell 0.22% and 0.34%.
Elsewhere, Vivendi plummeted 2.05% as the owner of French phone carrier SFR reported fourth-quarter revenue that trailed analysts’ estimates, due to wireless competition with Iliad and Orange.
In London, commodity-heavy FTSE 100 dropped 0.54%, weighed by losses in mining stocks.
Shares in Glencore Xstrata tumbled 1.58% and Vedanta Resources lost 1.96%, while Rio Tinto dove 2.95%.
Financial stocks were also broadly lower, as the Royal Bank of Scotland edged down 0.09% and Lloyds Banking fell 0.24%, HSBC Holdings and Barclays retreated 0.86% and 0.90%.
In the U.S., equity markets pointed to a lower open. The Dow Jones Industrial Average futures pointed to a 0.11% fall, S&P 500 futures signaled a 0.14% decline, while the Nasdaq 100 futures indicated a 0.10% loss.
Later in the day, the European Commission is to publish its economic forecasts for European Union member states.