Investing.com - European stocks were lower on Monday, as investors remained cautious ahead of a meeting of euro zone finance ministers later in the day, amid uncertainty over whether Greece will receive its next tranche of financial aid.
During European morning trade, the EURO STOXX 50 fell 0.38%, France’s CAC 40 dropped 0.41%, while Germany’s DAX 30 slipped 0.18%.
Market sentiment slightly improved after Greece’s government approved a budget of spending cuts and tax increases for next year, just days after the parliament narrowly approved a EUR13.5 billion austerity package required to secure the country’s next installment of financial aid.
But markets were jittery as euro zone finance ministers were to meet in Brussels later in the day to discuss whether to release a new tranche of funding to Greece.
German Finance Minister Wolfgang Schaeuble told a German newspaper on Sunday that the troika of international lenders to Athens was unlikely to deliver its full report in time for Monday's meeting.
Financial stocks were broadly lower, as French lenders Societe Generale and BNP Paribas saw shares decline 0.49% and 0.53%, while Germany's Deutsche Bank and Commerzbank dropped 0.72% and 0.38% respectively.
On the upside, Telecom Italia SpA surged 3.98% amid reports Egyptian billionaire Naguib Sawiris offered to purchase a stake in the company.
In London, FTSE 100 dipped 0.05%.
Shares in HSBC Holdings rose 0.28% and Lloyds Banking climbed 1.08%. On the other hand, Barclays and the Royal Bank of Scotland trended lower, with shares falling 0.15% and 0.30% respectively.
Mining giants Rio Tinto and BHP Billiton added to losses, retreating 0.50% and 0.31%, while copper producers Xstrata and Kazakhmys were 1.13% and 0.25% respectively.
Elsewhere, the world’s largest maker of airborne-refueling equipment, Cobham dove 7.01% after saying "organic" revenue will decline in 2013.
In the U.S., equity markets pointed to a moderately higher open. The Dow Jones Industrial Average futures pointed to a 0.13% increase, S&P 500 futures signaled a 0.11% rise, while the Nasdaq 100 futures indicated a 0.13% gain.
Later Monday, German Chancellor Angela Merkel was to travel to Lisbon to hold talks with Portuguese political leaders, amid public opposition to the country’s austerity cuts.