Investing.com - European stocks opened lower on Thursday, amid ongoing geopolitical tensions and as markets were digesting comments by U.S. President Donald Trump.
During European morning trade, the EURO STOXX 50 declined 0.43%, France’s CAC 40 retreated 0.40%, while Germany’s DAX 30 slipped 0.19%.
Investors remained cautious after President Trump said the United States' relationship with Moscow "may be at an all-time low."
Trump's comments came after he ordered a missile attack on Syria to punish the government’s suspected use of poison gas. Russia condemned the U.S. action.
Markets were also jittery after Donald Trump told the Wall Street Journal on Wednesday that the dollar "is getting too strong" and that he would prefer the Federal Reserve to keep interest rates low.
Financial stocks were broadly lower, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) retreated 0.73% and 1.28%, while Germany’s Deutsche Bank (DE:DBKGn) lost 1.03% and 1.25%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) declined 0.89% and 0.83% respectively, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) slid 0.78% and 0.95%.
Deutsche Lufthansa AG (BE:LHABy) added to losses, with shares down 1.95% following reports shareholder Infinite Miles placed a 2.5% stake at €15.25 apiece.
In London, FTSE 100 dropped 0.54%, as U.K. lenders tracked their European counterparts lower.
Shares in the Royal Bank of Scotland (LON:RBS) dropped 0.43% and Barclays (LON:BARC) declined 0.63%, while HSBC Holdings (LON:HSBA) tumbled 1.08%. Lloyds Banking (LON:LLOY) overperformed however, with shares up 0.11%.
Ashtead Group (LON:AHT) was also on the downside, as shares plummeted 1.97% after analysts at HSBC Holdings reissued their ‘hold’ rating on the stock.
Meanwhile, mining stocks were mixed on the commodity-heavy index, as Glencore (LON:GLEN) retreated 0.90%, while Randgold Resources (LON:RRS) and Fresnillo (LON:FRES) jumped 0.94% and 1.86% respectively.
Royal Mail (LON:RMG) was one of the top performers on the index, as shares rallied 1.55% after the company said it will close its defined benefit pension scheme in 2018.
In the U.S., equity markets pointed to a steady to lower open. The Dow Jones Industrial Average futures pointed to a 0.06% dip, S&P 500 futures showed a 0.07% loss, while the Nasdaq 100 futures indicated a 0.02% downtick.