Investing.com - European stocks declined on Wednesday, despite upbeat German consumer climate data, as the previous day's economic report continued to weigh.
During European morning trade, the DJ Euro Stoxx 50 declined 0.71%, France’s CAC 40 retreated 0.72%, while Germany’s DAX dropped 0.63%.
Market research group Gfk earlier said that its German consumer climate index rose to a seven-and-a-half year high of 8.9 in June, from 8.6 in May, whose figure was revised up from a previously estimated reading of 8.5. Analysts had expected the index to tick down to 8.5 this month.
The report came a day after data showed that German business confidence deteriorated this month, amid concerns about the impact of crises in Iraq and Ukraine.
The German Ifo business climate index fell to a six-month low of 109.7 this month from 110.4 in May and compared to estimates of 110.3.
Financial stocks were broadly lower, as French lenders Societe Generale (PARIS:SOGN) and BNP Paribas (PARIS:BNPP) declined 0.74% and 0.79%, while Germany's Deutsche Bank (XETRA:DBKGn) slid 0.30%.
Among peripheral lenders, Italy's Unicredit (MILAN:CRDI) and Intesa Sanpaolo (MILAN:ISP) fell 0.20% and 0.31% respectively, while Spanish banks BBVA (MADRID:BBVA) and Banco Santander (MADRID:SAN) retreated 0.56% and 0.62%.
Elsewhere, shares in GDF Suez (PARIS:GSZ) plummeted 1.63% after France sold a €1.5 billion stake in the natural gas distributor, as the government seeks to raise funds to purchase a stake in Alstom (PARIS:ALSO).
In London, commodity-heavy FTSE 100 retreated 0.59%, weighed by sharp losses in the mining sector.
Shares in Glencore Xstrata (LONDON:GLEN) tumbled 1.59% and Rio Tinto (LONDON:RIO) lost 1.66%, while rivals Bhp Billiton (LONDON:BLT) and Vedanta Resources (LONDON:VED) plummeted 1.30% and 1.74% respectively.
Financial stocks were also broadly lower, as HSBC Holdings (LONDON:HSBA) edged down 0.11% and Lloyds Banking (LONDON:LLOY) declined 0.79%, while the Royal Bank of Scotland (LONDON:RBS) retreated 0.95% and Barclays (LONDON:BARC) dropped 1.16%.
Bunzl (LONDON:BNZL) added to losses, with shares plunging 2.52%, after the distributor of disposable tableware and food packaging said it bought Allshoes Benelux in the Netherlands and JPLUS Comercio e Distribuicao Ltda in Brazil. The company also reported a 6% rise in first-half revenue.
In the U.S., equity markets pointed to a steady open. The Dow 30 futures pointed to a 0.07% slip, S&P 500 futures signaled a 0.06% downtick, while the Nasdaq 100 futures indicated a 0.11% loss.
Later in the day, the U.S. was to release data on durable goods orders, as well as revised data on first quarter growth.