Investing.com - European stocks opened sharply lower on Thursday, as news of a terrorist attack in Indonesia and an ongoing oil rout dampened market sentiment, while investors eyed the minutes of the European Central Bank’s latest policy meeting due later in the day.
During European morning trade, the EURO STOXX 50 lost 1.63%, France’s CAC 40 plummeted 1.73%, while Germany’s DAX 30 tumbled 1.59%.
Sentiment weakened after a series of apparently coordinated gun and bomb attacks were carried out in the heart of the Indonesian capital of Jakarta Thursday morning. At least four people were killed.
Market particpants also continued to focus on the oil market as crude futures for February delivery hovered around 30$ after falling below that level on Tuesday.
Energy stocks were broadly lower, as French oil and gas major Total SA (PA:TOTF) tumbled 1.31% and Italy’s ENI (MI:ENI) lost 1.48%, while Norway’s Statoil ASA (OL:STL) plunged 3.15%.
Financial stocks added to losses, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) plummeted 1.77% and 2.12%, while Germany’s Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) retreated 1.04% and 1.15%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) lost 1.54% and 2.15% respectively, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) dropped 0.48% and 0.89%.
In earnings news, Alstom (PA:ALSO) tumbled 1.15% after the French train maker said orders rose sharply in the third quarter as sales gained 7%.
Swiss luxury goods maker Compagnie Financiere Richemont SA (VX:CFR) said sales in the three months to December dropped 4% due to weakness in Europe, sending shares down 0.46%.
In London, FTSE 100 retreated 1.35%, as U.K. lenders tracked their European counterparts sharply lower.
Shares in the Royal Bank of Scotland (L:RBS) and HSBC Holdings (L:HSBA) declined 1.03% and 1.27% respectively, while Lloyds Banking (L:LLOY) lost 1.74% and Barclays (L:BARC) plunged 2.75%.
Meanwhile, Tesco (L:TSCO) was one of the top performers, with shares surging 5.59% after the supermarket chain said like-for-like sales in the six weeks ending January 9 increased by 2.1%.
Burberry Group PLC (L:BRBY) was also on the upside, as shares rallied 3.19%, after the luxury retailer reported underlying retail revenue gained 1% to £603 million in the three months to December 31.
Elsewhere, mining stocks were mixed on the commodity-heavy index. Shares in Bhp Billiton (L:BLT) gained 1.40% and Anglo American (L:AAL) jumped 3.37%, while rivals Glencore (L:GLEN) and Rio Tinto (L:RIO) tumbled 1.07% and 1.10% respectively,
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.46% increase, S&P 500 futures signaled a 0.52% gain, while the Nasdaq 100 futures indicated a 0.59% climb.