Investing.com - European stocks opened lower on Wednesday, as disappointing Chinese trade data prompted fresh concerns over the strength of the world’s second biggest economy and after the World Bank cut its growth forecast.
During European morning trade, the EURO STOXX 50 retreated 0.77%, France’s CAC 40 slid 0.68%, while Germany’s DAX 30 declined 0.64%.
Data earlier showed that China’s trade surplus widened to $49.98 billion in May from $45.56 billion the previous month. Analysts had expected the trade surplus to widen to $58.00 billion last month.
The report showed that exports dropped at an annualized rate of 4.1% in May, while imports declined by 0.4%.
Separately, the World Bank cut its 2016 global growth forecast to 2.4% from a previously estimated 2.9%, citing "sluggish growth in advanced economies, stubbornly low commodity prices, weak global trade, and diminishing capital flows."
Financial stocks were broadly lower, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) tumbled 0.98% and 1.01%, while Germany’s Deutsche Bank (DE:DBKGn) declined 0.92%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) lost 0.57% and 2.25% respectively, while Spanish banks Banco Santander (MC:SAN) and BBVA (MC:BBVA) retreated 0.24% and 0.58%.
On the upside, German utility provider E.ON SE NA (DE:EONGn) saw shares rally 1.99% as the company was set to seal its split into two at its annual shareholder meeting on Wednesday.
In London, FTSE 100 slipped 0.18%, as U.K. lenders tracked their European counterparts sharply lower.
Shares in Lloyds Banking (LON:LLOY) slid 0.87% and Barclays (LON:BARC) dropped 0.98%, while the Royal Bank of Scotland (LON:RBS) tumbled 1.09%. HSBC Holdings (LON:HSBA) overperformed, with shares edging up 0.08%.
Meanwhile, mining stocks were broadly higher on the commodity-heavy index. Antofagasta (LON:ANTO) gained 0.55% and Glencore (LON:GLEN) advanced 0.77%, while Fresnillo (LON:FRES) climbed 0.87% and Anglo American (LON:AAL) jumped 0.92%.
J Sainsbury PLC (LON:SBRY) added to gains, with shares up 2.61% after the supermarket chain reported a lower-than-expected fall first-quarter in sales and said its clothing arm was doing well.
In the U.S., equity markets pointed to a steady open. The Dow Jones Industrial Average futures pointed to a 0.01% dip, S&P 500 futures a 0.01% downtick, while the Nasdaq 100 futures indicated a 0.03% loss.