Investing.com - European stocks pushed lower on Tuesday, despite data showing that investor confidence in Germany rose to a four-year high this month, as sentiment weakened after the Organization for Economic Co-operation and Development cut its forecast for global growth next year.
During European afternoon trade, the EURO STOXX 50 retreated 0.89%, France’s CAC 40 tumbled 1.02%, while Germany’s DAX 30 slid 0.39%.
The ZEW Centre for Economic Research said that its index of German economic sentiment rose by 1.8 points to a four year high of 54.6 from October’s reading of 52.8. Economists had expected the index improve to 54.0.
The current conditions Index ticked down to 28.7 from 29.7 in October, compared to expectations for an increase to 31.0.
But market sentiment came under pressure after the OECD cut its forecast for global economic growth in 2014 to 3.6%, down from 4%, warning that the outlook for emerging markets is deteriorating.
Financial stocks remained broadly lower, as French lenders BNP Paribas and Societe Generale tumbled 1.32% and 1.16%, while Germany's Deutsche Bank slipped 0.18%.
Among peripheral lenders, Spanish banks Banco Santander and BBVA retreated 0.76% and 0.98% respectively. Italy's Unicredit and Intesa Sanpaolo overperformed however,up 0.09% and 0.23%.
Elsewhere, Royal KPN NV rallied 1.59% after Credit Suisse Group raised its rating on the phone company to "outperform" from "neutral", saying the stock will probably gain in value once the sale of KPN’s German business to Telefonica is completed.
In London, FTSE 100 slumped 0.52%, as U.K. lenders tracked their European counterparts lower.
Shares in HSBC Holdings declined 0.42% and Barclays dropped 0.51%, while the Royal Bank of Scotland and Lloyds Banking plummeted 0.96% and 1.52% respectively.
Meanwhile, mining stocks were mixed as Glencore Xstrata retreated 0.99% and Vedanta Resources plummeted 1.37%, while Randgold Resources climbed 0.55% and Fresnillo gained 0.98%.
EasyJet remained the best performer on the index, up 6.41% after the discount carrier said it will pay an additional dividend after full-year profit climbed 51%.
In the U.S., equity markets pointed to a mixed open. The Dow Jones Industrial Average futures pointed to a 0.03% gain, S&P 500 futures signaled a 0.10% fall, while the Nasdaq 100 futures indicated a 0.08% loss.
Investors were also turning their attention to the minutes of the Federal Reserve's October meeting, as well as a speech by Fed Chairman Ben Bernanke on Wednesday for further indications on the future course of U.S. monetary policy.
During European afternoon trade, the EURO STOXX 50 retreated 0.89%, France’s CAC 40 tumbled 1.02%, while Germany’s DAX 30 slid 0.39%.
The ZEW Centre for Economic Research said that its index of German economic sentiment rose by 1.8 points to a four year high of 54.6 from October’s reading of 52.8. Economists had expected the index improve to 54.0.
The current conditions Index ticked down to 28.7 from 29.7 in October, compared to expectations for an increase to 31.0.
But market sentiment came under pressure after the OECD cut its forecast for global economic growth in 2014 to 3.6%, down from 4%, warning that the outlook for emerging markets is deteriorating.
Financial stocks remained broadly lower, as French lenders BNP Paribas and Societe Generale tumbled 1.32% and 1.16%, while Germany's Deutsche Bank slipped 0.18%.
Among peripheral lenders, Spanish banks Banco Santander and BBVA retreated 0.76% and 0.98% respectively. Italy's Unicredit and Intesa Sanpaolo overperformed however,up 0.09% and 0.23%.
Elsewhere, Royal KPN NV rallied 1.59% after Credit Suisse Group raised its rating on the phone company to "outperform" from "neutral", saying the stock will probably gain in value once the sale of KPN’s German business to Telefonica is completed.
In London, FTSE 100 slumped 0.52%, as U.K. lenders tracked their European counterparts lower.
Shares in HSBC Holdings declined 0.42% and Barclays dropped 0.51%, while the Royal Bank of Scotland and Lloyds Banking plummeted 0.96% and 1.52% respectively.
Meanwhile, mining stocks were mixed as Glencore Xstrata retreated 0.99% and Vedanta Resources plummeted 1.37%, while Randgold Resources climbed 0.55% and Fresnillo gained 0.98%.
EasyJet remained the best performer on the index, up 6.41% after the discount carrier said it will pay an additional dividend after full-year profit climbed 51%.
In the U.S., equity markets pointed to a mixed open. The Dow Jones Industrial Average futures pointed to a 0.03% gain, S&P 500 futures signaled a 0.10% fall, while the Nasdaq 100 futures indicated a 0.08% loss.
Investors were also turning their attention to the minutes of the Federal Reserve's October meeting, as well as a speech by Fed Chairman Ben Bernanke on Wednesday for further indications on the future course of U.S. monetary policy.