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European stocks mixed to lower, debt concerns weigh; Dax up 0.14%

Published 02/18/2013, 03:45 AM
Updated 02/18/2013, 03:46 AM
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Investing.com - European stocks were mixed to lower on Monday, as concerns over the handling of the debt crisis in the euro zone continued to weigh broadly on market sentiment.

During European morning trade, the EURO STOXX 50 fell 0.29%, France’s CAC 40 slipped 0.19%, while Germany’s DAX 30 edged up 0.14%.

Market sentiment remained under pressure after data on Thursday showed that the euro zone's economy contracted by 0.6% in the three months to December, compared to expectations for a 0.4% decline.

The weak data fuelled speculation over a possible rate cut by the European Central Bank in the coming months.

Financial stocks were boradly lower, as French lenders Societe Generale and BNP Paribas and Societe Generale dropped 0.57% and 0.61%, while Germany's Deutsche Bank and Commerzbank retreated 0.81% and 0.07% respectively.

Peripheral lenders added to losses, with Italian banks Intesa Sanpaolo and Unicredit declining 0.29% and 0.79%, while Spain's Banco Santander and BBVA tumbled 1.52% and 1.57%.

On the upside, Natixis surged 19.09% after saying it will make a payment to shareholders after selling back stakes in its parent’s banking networks.

In London, commodity-heavy FTSE 100 slipped 0.24%, weighed by losses in mining stocks.

Mining giants BHP Billiton and Rio Tinto declined 0.24% and 1.23%, while copper producers Xstrata and Kazakhmys tumbled 1.16% and 0.55% respectively.

Oil and gas major Anglo American was also on the downside, dropping 0.82%, while BP shed 0.44%.

Meanwhile, financial stocks traded broadly lower. Shares in Lloyds Banking edged down 0.09% and HSBC Holdings fell 0.33%, while the Royal Bank of Scotland and Barclays retreated 0.44% and 0.43%.

Trade volumes were expected to remain light on Monday, with U.S. markets remaining closed for the President’s Day holiday.


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