Investing.com - European stock markets remained mixed on Tuesday, as a key German economic supported investor confidence and while fears spurred by a Moody's downgrade of six of the region's nations continued to weigh.
During European afternoon trade, the EURO STOXX 50 eased up 0.04%, France’s CAC 40 fell 0.08%, while Germany’s DAX 30 rose 0.15%.
Global equities initially came under pressure after ratings agency Moody's downgraded the credit ratings on six European countries, including Spain and Italy late Monday. France and Austria kept their top ratings but had their outlooks dropped to "negative" from "stable."
Moody's also cut its ratings on Portugal, Slovakia, Slovenia and Malta, while warning that it could downgrade the U.K., rekindling contagion worries.
However, market sentiment improved following a report showing that German economic sentiment rose significantly more-than-expected in February, turning positive for the first time since May 2011.
Financial stocks remained mixed as shares in Italian lenders Intesa Sanpaolo and Unicredit jumped 1.95% and 1.38%, while France’s BNP Paribas and Societe Generale tumbled 1.02% and 0.59% respectively.
Meanwhile, ThyssenKrupp, Germany’s biggest steel maker sank 2.49% after posting a first-quarter loss following project delays.
On the upside, L’Oreal surged 3.40% after the world’s largest cosmetics maker said it’s confident of achieving sales and earnings growth this year after reporting a 7.7% increase in 2011 operating profit, beating analysts’ estimates.
In London, FTSE 100 declined 0.17%, after Bank of England Governor Mervyn King said the bank's Monetary Policy Committee expects inflation to fall back to "around" its 2% target by the end of 2012.
The comments came after industry data showed that consumer price inflation in the U.K. rose 3.6% in January, in line with expectations, while retail prices rose less-than-expected in January by 3.9%.
Rio Tinto slumped 2.17% as the world’s third-biggest mining company approved a USD4.5 billion expansion of its Chilean Escondida copper mine with BHP Billiton. The mine accounts for about a fifth of all copper produced in Chile, the world’s top supplier of the metal. Shares in Bhp Billiton declined 0.46% after the news.
Elsewhere, financial stocks were mixed. Shares in HSBC Holdings advanced 0.63% and Barclays eased up 0.04%, while Lloyds Banking and the Royal Bank of Scotland tumbled 1.20% and 2.21%.
In the U.S., equity markets pointed to a moderately lower open. The Dow Jones Industrial Average futures pointed to a fall of 0.06%, S&P 500 futures signaled a 0.10% decline, while the Nasdaq 100 futures indicated a 0.04% loss.
Later in the day, the U.S. was to release official data on retail sales, as well as reports on import prices and business inventories.
During European afternoon trade, the EURO STOXX 50 eased up 0.04%, France’s CAC 40 fell 0.08%, while Germany’s DAX 30 rose 0.15%.
Global equities initially came under pressure after ratings agency Moody's downgraded the credit ratings on six European countries, including Spain and Italy late Monday. France and Austria kept their top ratings but had their outlooks dropped to "negative" from "stable."
Moody's also cut its ratings on Portugal, Slovakia, Slovenia and Malta, while warning that it could downgrade the U.K., rekindling contagion worries.
However, market sentiment improved following a report showing that German economic sentiment rose significantly more-than-expected in February, turning positive for the first time since May 2011.
Financial stocks remained mixed as shares in Italian lenders Intesa Sanpaolo and Unicredit jumped 1.95% and 1.38%, while France’s BNP Paribas and Societe Generale tumbled 1.02% and 0.59% respectively.
Meanwhile, ThyssenKrupp, Germany’s biggest steel maker sank 2.49% after posting a first-quarter loss following project delays.
On the upside, L’Oreal surged 3.40% after the world’s largest cosmetics maker said it’s confident of achieving sales and earnings growth this year after reporting a 7.7% increase in 2011 operating profit, beating analysts’ estimates.
In London, FTSE 100 declined 0.17%, after Bank of England Governor Mervyn King said the bank's Monetary Policy Committee expects inflation to fall back to "around" its 2% target by the end of 2012.
The comments came after industry data showed that consumer price inflation in the U.K. rose 3.6% in January, in line with expectations, while retail prices rose less-than-expected in January by 3.9%.
Rio Tinto slumped 2.17% as the world’s third-biggest mining company approved a USD4.5 billion expansion of its Chilean Escondida copper mine with BHP Billiton. The mine accounts for about a fifth of all copper produced in Chile, the world’s top supplier of the metal. Shares in Bhp Billiton declined 0.46% after the news.
Elsewhere, financial stocks were mixed. Shares in HSBC Holdings advanced 0.63% and Barclays eased up 0.04%, while Lloyds Banking and the Royal Bank of Scotland tumbled 1.20% and 2.21%.
In the U.S., equity markets pointed to a moderately lower open. The Dow Jones Industrial Average futures pointed to a fall of 0.06%, S&P 500 futures signaled a 0.10% decline, while the Nasdaq 100 futures indicated a 0.04% loss.
Later in the day, the U.S. was to release official data on retail sales, as well as reports on import prices and business inventories.