Investing.com - European stocks were mostly lower on Wednesday, as investors were cautious ahead of the Bank of England’s policy meeting on Thursday, although easing concerns over U.K. political instability still lent support.
During European morning trade, the EURO STOXX 50 dropped 0.43%, France’s CAC 40 eased 0.06%, while Germany’s DAX 30 slipped 0.26%.
Markets were jittery although there were mounting expectations for a rate cut from the BoE at the conclusion of its policy meeting on Thursday.
Sentiment also remained supported as Theresa May is expected to become the next U.K. prime minster much earlier than had been anticipated.
Financial stocks were mixed, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) slipped 0.22% and 0.25%, while Commerzbank (DE:CBKG) inched up 0.08% and Deutsche Bank (DE:DBKGn) fell 0.35% in Germany.
Among peripheral lenders, Intesa Sanpaolo (MI:ISP) slid 0.22% and Unicredit (MI:CRDI) surged 2.24% in Italy, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) gained 0.17% and 1.05%.
Elsewhere, Airbus Group (PA:AIR) tumbled 1.49% following reports the French group is cutting production of its A380 superjumbo, which has struggled to win new customers.
On the upside, Alstom (PA:ALSO) jumped 0.91% after reporting a 9% increase in second quarter year-on-year sales. The company also said orders in the same period declined by 55%.
In London, FTSE 100 slipped 0.13%, weighed by Barratt Developments (LON:BDEV), whose shares were down 3.28% even after the housebuilder said second-quarter pretax profit climbed 20%.
Financial stocks were also broadly lower, as Lloyds Banking (LON:LLOY) eased 0.09% and HSBC Holdings (LON:HSBA) declined 0.76%, while the Royal Bank of Scotland (LON:RBS) retreated 0.91% and Barclays (LON:BARC) lost 1.70%.
Meanwhile, mining stocks were sharply higher on the commodity-heavy index. Shares in Rio Tinto (LON:RIO) jumped 1.37% and Glencore (LON:GLEN) rallied 2.16%, while Anglo American (LON:AAL) and Antofagasta (LON:ANTO) surged 2.41% and 3.09% respectively.
Burberry Group (LON:BRBY) saw shares jump 2.33% after the company reported flat retail revenues tn the three months to June and said that wholesale revenue would be weaker than expected.
In the U.S., equity markets pointed to a steady to lower open. The Dow Jones Industrial Average futures pointed to a 0.11% fall, S&P 500 futures a 0.08% dip, while the Nasdaq 100 futures indicated a 0.07% downtick.