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European stocks mixed on Fed jitters, German data ahead; Dax up 0.23%

Published 06/24/2013, 03:43 AM
Updated 06/24/2013, 03:44 AM
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Investing.com - European stocks were mixed on Monday, as expectations for the Federal Reserve to scale back its stimulus program continued to weigh, as well as concerns over Greece's bailout program.

During European morning trade, the EURO STOXX 50 dipped 0.04%, France’s CAC 40 inched 0.05% lower, while Germany’s DAX 30 added 0.23%.

Stocks remained under pressure after Fed Chairman Ben Bernanke said last Wednesday that the bank could begin tapering asset purchases by the end of 2013 if the economy continues to pick up.

Meanwhile, investors remained cautious after the International Monetary Fund on Friday said it would not suspend Greek funding and said Athens has until July to come up with an agreement on its bailout program.

The comments came amid concerns over recent delays in the privatization plan Greece agreed to last year, which could threaten the country’s performance on economic reforms needed to secure bailout funding.

Financial stocks were broadly lower, as French lenders BNP Paribas and Societe Generale declined 0.58% and 0.07%, while Germany's Deutsche Bank retreated 0.38%.

Among peripheral lenders, Spanish bank Banco Santander dropped 0.40%, while Italy's Intesa Sanpaolo and Unicredit surged 1.07% and 1.54%.

Adding to gains, Kabel Deutschland rallied 2.04% after Vodafone raised its bid for the company to EUR87 a share from the initial EUR80.

In London, FTSE 100 added 0.20%, supported by gains in financial stocks.

Shares in Barclays climbed 0.44% and the Royal Bank of Scotland gained 0.49%, while Lloyds Banking and HSBC Holdings advanced 0.79% and 0.53%.

Meanwhile, mining stocks were broadly lower. BHP Billiton and Rio Tinto saw shares drop 0.35% and 0.89% respectively, Eurasian Natural Resources and Vedanta Resources plummeted 2.46% and 3.05%.

In the U.S., equity markets pointed to a lower open. The Dow Jones Industrial Average futures pointed to a 0.23% fall, S&P 500 futures signaled a 0.27% decline, while the Nasdaq 100 futures indicated a 0.15% loss.

Later in the day, the Ifo institute was to release a report on German business climate.


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