Investing.com - European stocks were lower on Monday, as concerns over a slowdown in Germany continued to weigh and as markets eyed the release of German inflation data later in the day.
During European morning trade, the DJ Euro Stoxx 50 slid 0.62%, France’s CAC 40 retreated 0.58%, while Germany’s DAX dropped 0.52%.
European equities remained under pressure after data on Friday showed that the Gfk German consumer climate index ticked down to 8.3 this month, from a reading of 8.6 in August.
The report added to concerns over the outlook for growth in the euro zone's biggest economy as data last Wednesday showed that Germany's Ifo business confidence index deteriorated for the fifth successive month in September.
Investors were turning their attention to Wednesday’s euro zone inflation data and the outcome of Thursday’s European Central Bank meeting.
Financial stocks were broadly lower, as French lenders BNP Paribas (PARIS:BNPP) and Societe Generale (PARIS:SOGN) declined 0.85% and 0.66%, while Germany's Deutsche Bank (XETRA:DBKGn) and Commerzbank (XETRA:CBKG) lost 0.28% and 2.45%.
Commerzbank was reportedly preparing to face a U.S. inquiry into whether it broke anti-money-laundering laws.
Among peripheral lenders, Italy's Unicredit (MILAN:CRDI) and Intesa Sanpaolo (MILAN:ISP) retreated 0.89% and 1.19% respectively, while Spanish banks Banco Santander (MADRID:SAN) and BBVA (MADRID:BBVA) tumbled 0.97% and 1.59%.
On the upside, Air France KLM (PARIS:AIRF) gained 0.48% after pilots called off a two-week strike on Sunday.
In London, commodity-heavy FTSE 100 declined 0.43%, weighed by sharp losses in the mining sector.
Shares in Glencore Xstrata (LONDON:GLEN) and Bhp Billiton (LONDON:BLT) tumbled 1.26% and 1.33%, while rivals Fresnillo (LONDON:FRES) and Rio Tinto (LONDON:RIO) plummeted 1.64% and 1.82% respectively.
Financial stocks added to losses, as the Royal Bank of Scotland (LONDON:RBS) edged down 0.08% and Lloyds Banking (LONDON:LLOY) retreated 0.59%, while Barclays (LONDON:BARC) slumped 0.76% and HSBC Holdings (LONDON:HSBA) lost 1.58%.
Elsewhere, Balfour Beatty (LONDON:BALF) saw shares dive 22.70% after the infrastructure group warned that its construction business will have profit $122 million less than expected.
In the U.S., equity markets pointed to a lower open. The Dow 30 futures pointed to a 0.50% drop, S&P 500 futures signaled a 0.46% loss, while the NASDAQ 100 futures indicated a 0.48% decline.
Later in the day, the U.S. was to produce data on personal income and expenditure, as well as a private sector report on pending home sales.