Investing.com - European stocks opened sharply lower on Tuesday, tracking their Asian counterparts as declining oil prices continued to weigh broadly on equity markets.
During European morning trade, the EURO STOXX 50 retreated 1.89%, France’s CAC 40 plummeted 2.04%, while Germany’s DAX 30 tumbled 1.65%.
Asian stocks closed broadly lower as oil prices fell below $30 a barrel once again on Tuesday, amid ongoing concerns over a global supply glut and slowing global demand. The Shanghai Composite plunged more than 6% to a 13-month low.
European equities had strengthened broadly late last week after European Central Bank President Mario Draghi signaled that fresh easing measures could be rolled out as soon as the bank’s next meeting in March.
Financial stocks were broadly lower, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) tumbled 1.80% and 2.48%, while Germany’s Commerzbank (DE:CBKG) and Deutsche Bank (DE:DBKGn) lost 2.80% and 2.92%.
Among peripheral lenders, Italy’s Unicredit (MI:CRDI) and Intesa Sapaolo plummeted 2.25% and 2.12% respectively, while Spanish banks Banco Santander (MC:SAN) and BBVA (MC:BBVA) plunged 2.65% and 2.43%.
On the upside, Philips Kon (AS:PHG) saw shares surge 3.67% after the Dutch technology giant even after reporting a €39 million net loss in the fourth quarter and saying it expects "modest" sales growth this year.
Siemens AG NA (DE:SIEGn) added to gains, with shares rising 0.25% after the German group reported upbeat first quarter earning and raised its guidance.
In London, commodity-heavy FTSE 100 lost 1.68%, weighed by sharp losses in energy and mining stocks.
Oil and gas major BP (L:BP) saw shares dive 3.31% amid declining oil prices, while rival company Royal Dutch Shell (L:RDSa) plummeted 3.36%.
Mining giants Rio Tinto (L:RIO) and Glencore (L:GLEN) plunged 2.05% and 3.03% respectively, while Bhp Billiton (L:BLT) lost 3.36% and Anglo American (L:AAL) sank 3.51%.
Financial stocks added to losses, as the Royal Bank of Scotland (L:RBS) dropped 0.52% and Lloyds Banking (L:LLOY) tumbled 1.49%, while HSBC Holdings (L:HSBA) plummeted 2.21% and Barclays (L:BARC) dove 3.52%.
Meanwhile, easyJet (L:EZJ) saw shares decline 1.59% after the airliner said that revenue per seat in the first quarter dropped 3.7% due to the Paris attacks and cancelled flights to Egypt.
In the U.S., equity markets pointed to a sharply lower open. The Dow Jones Industrial Average futures pointed to a 1.01% loss, S&P 500 futures a 0.94% slide, while the Nasdaq 100 futures indicated a 1.16% drop.