Investing.com - European stocks were mixed on Tuesday, as market sentiment remained globally positive following the election of Donald Trump as president of the United States last week, while disappointing German third-quarter growth weighed.
During European morning trade, the EURO STOXX 50 slid 0.32%, France’s CAC 40 rose 0.24%, while Germany’s DAX 30 slipped 0.10%.
Market sentiment remained broadly supported by hopes that increased fiscal spending and tax cuts under a Trump administration will bolster economic growth and inflation.
However, expectations for higher U.S. interest rates also remained intact amid optimism that a pick-up in growth will allow the Federal Reserve to tighten borrowing costs.
Earlier Tuesday, preliminary data showed that German gross domestic product rose .2% in the third quarter, disappointing expectations for an incease of 0.3% and down from a growth rate of 0.4% in the previous quarter.
Financial stocks were broadly lower, as French lenders Societe Generale (PA:SOGN) and BNP Paribas (PA:BNPP) lost 0.50% and 2.17%, while Germany’s Commerzbank (DE:CBKG) and Deutsche Bank (DE:DBKGn) tumbled 0.63% and 1.06%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) plummeted 2.45% and 3.50% respectively, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) declined 0.40% and 0.72%.
On the upside, E.ON SE (DE:EONGn) saw shares after analysts at JPMorgan Chase (NYSE:JPM) reiterated their “buy” rating on the stock.
RWE AG (DE:RWEG) added to gains, with shares up 2.90% as the German power producer recovered after reporting disappointing third-quarter results on Monday.
In London, FTSE 100 gained 0.59%, supported by Pearson (LON:PSON) Plc, whose shares surged 5.32% after analysts at Societe Generale upgraded their rating on the stock from “hold” to “buy” on Monday.
Land Securities Group Plc (LON:LAND) was also on the upside, with shares jumping 4.16% even after the developper reported a fall in its mid-year net assets per share on Tuesday and warned of further weakness in demand for offices and retail space due to the Brexit vote.
Meanwhile, financial stocks were mixed. Shares in HSBC Holdings (LON:HSBA) edged up 0.16% and Lloyds Banking (LON:LLOY) gained 0.36%, while Barclays (LON:BARC) dropped 0.93% and the Royal Bank of Scotland (LON:RBS) tumbled 1.47%.
Mining stocks were broadly lower on the commodity-heavy index. Rio Tinto (LON:RIO) lost 3.74% and Anglo American (LON:AAL) tumbled 4.34%, while rivals Glencore (LON:GLEN) and Antofagasta (LON:ANTO) plunged 4.31% and 5.74% respectively.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.09% gain, S&P 500 futures showed a 0.24% rise, while the Nasdaq 100 futures indicated a 0.20% increase.