Investing.com - European stocks trimmed losses on Tuesday, after upbeat economic data from the euro zone, but remained under pressure as discussions on financial aid to banks by the euro zone's bailout fund, the European Stability Mechanism, continued to weigh on market sentiment.
During European early afternoon trade, the EURO STOXX 50 eased 0.08%, France’s CAC 40 declined slipped 0.19%, while Germany’s DAX 30 dropped 0.43%.
Sentiment improved earlier, after the ZEW Centre for Economic Research said that its index of German economic sentiment improved to 31.5 in January from a reading of 6.9 the previous month, blowing past expectations for a rise to 12.0.
In addition, the ZEW Centre for Economic Research said that its index of euro zone economic sentiment jumped to 31.2 this month from 7.6 in December, compared with expectations for a reading of 14.0.
Investors remained cautious however, as euro zone ministers were still seeking an agreement on how and when the EUR500 billion ESM can bypass governments and provide direct help to banks.
Financial stocks were remained lower, as shares in French lenders BNP Paribas and Societe Generale slid 0.15% and 0.68%, while Germany's Deutsche Bank and Commerzbank tumbled 2.29% and 1.47% respectively.
Peripheral lenders were mixed on the other hand. Spain's Banco Santander and BBVA declined 0.01% and 0.90%, while Italian banks Intesa Sanpaolo and Unicredit advanced 0.27% and 1.27%.
Elsewhere, Vivendi plummeted 2.48%, extending earlier losses, after SFR, the French phone unit of Europe’s biggest media and telecommunications company, said it expects a tough market for as long as 18 months.
On the upside, Siemens climbed 0.85% after announcing that first-quarter profit was about EUR1.3 billion, close to the previous year’s level.
In London, commodity-heavy FTSE 100 dipped 0.09%, weighed by losses in mining stocks and after data showed that industrial order expectations dropped unexpectedly in January.
Mining giants BHP Billiton and Rio Tinto remained on the downside, sliding 0.38% and 0.89%, while copper producer Kazakhmys dropped 0.45%.
Meanwhile, U.K. lenders trended mostly lower. Lloyds Banking slipped 0.13% and HSBC Holdings fell 0.34%, while the Royal Bank of Scotland declined 0.74%. Barclays overperformed on the other hand, advancing 0.44%.
In the U.S., equity markets pointed to a mixed open. The Dow Jones Industrial Average futures pointed to a 0.04% loss, S&P 500 futures signaled a 0.01% gain, while the Nasdaq 100 futures indicated a 0.12% rise.
Later in the day, the U.S. was to publish private sector data on existing home sales. In addition, the World Economic Forum was to begin its annual meeting in Davos, Switzerland.
During European early afternoon trade, the EURO STOXX 50 eased 0.08%, France’s CAC 40 declined slipped 0.19%, while Germany’s DAX 30 dropped 0.43%.
Sentiment improved earlier, after the ZEW Centre for Economic Research said that its index of German economic sentiment improved to 31.5 in January from a reading of 6.9 the previous month, blowing past expectations for a rise to 12.0.
In addition, the ZEW Centre for Economic Research said that its index of euro zone economic sentiment jumped to 31.2 this month from 7.6 in December, compared with expectations for a reading of 14.0.
Investors remained cautious however, as euro zone ministers were still seeking an agreement on how and when the EUR500 billion ESM can bypass governments and provide direct help to banks.
Financial stocks were remained lower, as shares in French lenders BNP Paribas and Societe Generale slid 0.15% and 0.68%, while Germany's Deutsche Bank and Commerzbank tumbled 2.29% and 1.47% respectively.
Peripheral lenders were mixed on the other hand. Spain's Banco Santander and BBVA declined 0.01% and 0.90%, while Italian banks Intesa Sanpaolo and Unicredit advanced 0.27% and 1.27%.
Elsewhere, Vivendi plummeted 2.48%, extending earlier losses, after SFR, the French phone unit of Europe’s biggest media and telecommunications company, said it expects a tough market for as long as 18 months.
On the upside, Siemens climbed 0.85% after announcing that first-quarter profit was about EUR1.3 billion, close to the previous year’s level.
In London, commodity-heavy FTSE 100 dipped 0.09%, weighed by losses in mining stocks and after data showed that industrial order expectations dropped unexpectedly in January.
Mining giants BHP Billiton and Rio Tinto remained on the downside, sliding 0.38% and 0.89%, while copper producer Kazakhmys dropped 0.45%.
Meanwhile, U.K. lenders trended mostly lower. Lloyds Banking slipped 0.13% and HSBC Holdings fell 0.34%, while the Royal Bank of Scotland declined 0.74%. Barclays overperformed on the other hand, advancing 0.44%.
In the U.S., equity markets pointed to a mixed open. The Dow Jones Industrial Average futures pointed to a 0.04% loss, S&P 500 futures signaled a 0.01% gain, while the Nasdaq 100 futures indicated a 0.12% rise.
Later in the day, the U.S. was to publish private sector data on existing home sales. In addition, the World Economic Forum was to begin its annual meeting in Davos, Switzerland.