Investing.com - European stock markets erased earlier gains to move lower during afternoon trade on Wednesday, as sentiment weakened following the release of weak euro zone economic data and as investors looked ahead to a Greek parliamentary vote on an austerity bill.
During European afternoon trade, the EURO STOXX 50 fell 0.3%, France’s CAC 40 shed 0.2%, while Germany’s DAX 30 declined 0.2%.
Appetite for riskier assets weakened amid uncertainty ahead of a Greek parliamentary vote later in the day, on an austerity bill necessary for Athens to secure its next installment of bailout funds.
Meanwhile, official data showed that German industrial production dropped 1.8% in September, compared to expectations for a 0.5% decline, adding to concerns that the bloc’s economy is weakening.
The report came after data in Spain showed that industrial production tumbled 7% in September; almost double the 3.6% decline expected by economists.
Elsewhere, official data showed that retail sales on the euro zone fell by 0.2% in September, compared to expectations for a 0.1% decline.
European equities were higher after the open as sentiment was boosted after U.S. President Barack Obama defeated Republican Mitt Romney to secure a second term.
The win for Obama was seen as boosting the chances that the Federal Reserve’s policy of quantitative easing will remain in place.
President Obama now needs to address a so-called “fiscal cliff”, approximately USD600 billion in tax hikes and spending cuts due to come into effect on January 1.
In earnings news, BNP Paribas saw shares rally 4% after reporting third-quarter net income more than doubled to EUR1.32 billion, above market expectations.
Dutch financial-services firm ING Group rose 0.6%, following the release of a well-received third-quarter earnings statement. The company also said it will eliminate 2,350 jobs in its banking and insurance units as part of cost-cutting efforts.
On the downside, Vestas Wind Systems plunged 10% after posting a wider-than-expected third quarter net loss.
Meanwhile, in London, the FTSE 100 dipped 0.15%, as losses in miners and financial sector stocks weighed.
Copper miner Xstrata declined 1.6%, Anglo American lost 0.85%, while BHP Billiton retreated 0.65%.
Shares in Randgold Resources tumbled 4% after its third-quarter earnings report disappointed investors.
Elsewhere, in the U.S., equity markets pointed to a lower open, as trading turned choppy after President Barack Obama defeated Republican Mitt Romney to secure a second term.
The Dow Jones Industrial Average futures pointed to a loss of 0.5%, S&P 500 futures signaled a 0.5% decline, while the Nasdaq 100 futures indicated a 0.6% drop.
Later Wednesday, the U.S. was to produce official data on crude oil inventories.
During European afternoon trade, the EURO STOXX 50 fell 0.3%, France’s CAC 40 shed 0.2%, while Germany’s DAX 30 declined 0.2%.
Appetite for riskier assets weakened amid uncertainty ahead of a Greek parliamentary vote later in the day, on an austerity bill necessary for Athens to secure its next installment of bailout funds.
Meanwhile, official data showed that German industrial production dropped 1.8% in September, compared to expectations for a 0.5% decline, adding to concerns that the bloc’s economy is weakening.
The report came after data in Spain showed that industrial production tumbled 7% in September; almost double the 3.6% decline expected by economists.
Elsewhere, official data showed that retail sales on the euro zone fell by 0.2% in September, compared to expectations for a 0.1% decline.
European equities were higher after the open as sentiment was boosted after U.S. President Barack Obama defeated Republican Mitt Romney to secure a second term.
The win for Obama was seen as boosting the chances that the Federal Reserve’s policy of quantitative easing will remain in place.
President Obama now needs to address a so-called “fiscal cliff”, approximately USD600 billion in tax hikes and spending cuts due to come into effect on January 1.
In earnings news, BNP Paribas saw shares rally 4% after reporting third-quarter net income more than doubled to EUR1.32 billion, above market expectations.
Dutch financial-services firm ING Group rose 0.6%, following the release of a well-received third-quarter earnings statement. The company also said it will eliminate 2,350 jobs in its banking and insurance units as part of cost-cutting efforts.
On the downside, Vestas Wind Systems plunged 10% after posting a wider-than-expected third quarter net loss.
Meanwhile, in London, the FTSE 100 dipped 0.15%, as losses in miners and financial sector stocks weighed.
Copper miner Xstrata declined 1.6%, Anglo American lost 0.85%, while BHP Billiton retreated 0.65%.
Shares in Randgold Resources tumbled 4% after its third-quarter earnings report disappointed investors.
Elsewhere, in the U.S., equity markets pointed to a lower open, as trading turned choppy after President Barack Obama defeated Republican Mitt Romney to secure a second term.
The Dow Jones Industrial Average futures pointed to a loss of 0.5%, S&P 500 futures signaled a 0.5% decline, while the Nasdaq 100 futures indicated a 0.6% drop.
Later Wednesday, the U.S. was to produce official data on crude oil inventories.