Investing.com - European stocks edged lower on Wednesday, as concerns over the handling of the financial crisis in the euro zone and a global economic slowdown continued to dominate market sentiment.
During European morning trade, the EURO STOXX 50 fell 0.21%, France’s CAC 40 dipped 0.07%, while Germany’s DAX 30 edged down 0.10%.
Market sentiment remained under pressure after the International Monetary Fund cut global economic growth forecasts for 2012 and 2013 on Tuesday, justifying the recent round of central bank stimulus which aimed to support to the world's fragile economies.
Earlier in the day, the IMF said the crisis in the euro zone remains the greatest threat to the global economy and warned that policymakers need to urgently strengthen fiscal and financial ties within the euro area.
Markets were also jittery amid uncertainty over when Spain will request a sovereign bailout and when Greece will agree with its international lenders on terms for the next tranche of funds.
Financial stocks were mostly higher, as France saw shares in Societe Generale rise 0.31% and BNP Paribas fall 0.13%, while Germany lenders Deutsche Bank and Commerzbank jumped 1.11% and 1.07% respectively.
Peripheral lenders were lower on the other hand, with shares in Italian banks Unicredit and Intesa Sanpaolo dropping 0.76% and 0.48%, while Spain's BBVA and Banco Santander tumbled 1.01% and 0.98%.
Nokia added to losses, as shares plunged 1.44%, amid reports it is seeking to tout the reliability of Apple's navigation software the Finnish phonemaker has spent billions crafting, as the iPhone faces consumer scorn over the digital maps' many errors.
In London, commodity-heavy FTSE 100 dropped 0.38%, weighed by losses in mining and oil stocks.
Precious metals mining giant Fresnillo saw shares dive 2,48%, while rival company Polymetal plummeted 1.77%.
Oil major BP was also lower, with shares dropping 0.50%, while Anglo American jumped 1.63%.
Elsewhere, Vodafone declined 0.42%, amid reports the company may win a reprieve in a USD2.2 billion Indian tax case after a panel opposed a retroactive clause in the nation's laws that drove away foreign investors.
On the upside, U.K. lenders tracked their European counterparts higher. Shares in HSBC Holdings added 0.17% and Barlcays advanced 1.47%, while the Royal Bank of Scotland rallied 2.66% and Lloyds Banking surged 3.70%.
In the U.S., equity markets pointed to a steady open. The Dow Jones Industrial Average futures pointed to a 0.07% fall, S&P 500 futures signaled a 0.01% gain, while the Nasdaq 100 futures indicated a 0.07% loss.
Also Wednesday, official data showed that industrial production in France rose unexpectedly in August, climbing 1.5% after a 0.6% rise the previous month, while a separate report showed that Italy's industrial production rose 1.7% in August, beating expectations for a 0.5% decline.
Later in the day, Italy was to auction EUR11 billion of short-term government bonds. In addition, Spanish Prime Minister Mariano Rajoy was to hold talks with French President Francois Hollande in Paris.
During European morning trade, the EURO STOXX 50 fell 0.21%, France’s CAC 40 dipped 0.07%, while Germany’s DAX 30 edged down 0.10%.
Market sentiment remained under pressure after the International Monetary Fund cut global economic growth forecasts for 2012 and 2013 on Tuesday, justifying the recent round of central bank stimulus which aimed to support to the world's fragile economies.
Earlier in the day, the IMF said the crisis in the euro zone remains the greatest threat to the global economy and warned that policymakers need to urgently strengthen fiscal and financial ties within the euro area.
Markets were also jittery amid uncertainty over when Spain will request a sovereign bailout and when Greece will agree with its international lenders on terms for the next tranche of funds.
Financial stocks were mostly higher, as France saw shares in Societe Generale rise 0.31% and BNP Paribas fall 0.13%, while Germany lenders Deutsche Bank and Commerzbank jumped 1.11% and 1.07% respectively.
Peripheral lenders were lower on the other hand, with shares in Italian banks Unicredit and Intesa Sanpaolo dropping 0.76% and 0.48%, while Spain's BBVA and Banco Santander tumbled 1.01% and 0.98%.
Nokia added to losses, as shares plunged 1.44%, amid reports it is seeking to tout the reliability of Apple's navigation software the Finnish phonemaker has spent billions crafting, as the iPhone faces consumer scorn over the digital maps' many errors.
In London, commodity-heavy FTSE 100 dropped 0.38%, weighed by losses in mining and oil stocks.
Precious metals mining giant Fresnillo saw shares dive 2,48%, while rival company Polymetal plummeted 1.77%.
Oil major BP was also lower, with shares dropping 0.50%, while Anglo American jumped 1.63%.
Elsewhere, Vodafone declined 0.42%, amid reports the company may win a reprieve in a USD2.2 billion Indian tax case after a panel opposed a retroactive clause in the nation's laws that drove away foreign investors.
On the upside, U.K. lenders tracked their European counterparts higher. Shares in HSBC Holdings added 0.17% and Barlcays advanced 1.47%, while the Royal Bank of Scotland rallied 2.66% and Lloyds Banking surged 3.70%.
In the U.S., equity markets pointed to a steady open. The Dow Jones Industrial Average futures pointed to a 0.07% fall, S&P 500 futures signaled a 0.01% gain, while the Nasdaq 100 futures indicated a 0.07% loss.
Also Wednesday, official data showed that industrial production in France rose unexpectedly in August, climbing 1.5% after a 0.6% rise the previous month, while a separate report showed that Italy's industrial production rose 1.7% in August, beating expectations for a 0.5% decline.
Later in the day, Italy was to auction EUR11 billion of short-term government bonds. In addition, Spanish Prime Minister Mariano Rajoy was to hold talks with French President Francois Hollande in Paris.