Investing.com - European markets opened lower on Wednesday, as initial optimism sparked y progress on the U.S. tax reform front dissipated and market sentiment waned.
Trading volumes were expected to become more and more thin throughout the week, ahead of the Christmas holiday.
The EURO STOXX 50 slid 0.41%, France’s CAC 40 declined 0.49%, while Germany’s DAX 30 was down 0.29% by 03:40 a.m. ET (07:40 GMT).
Sentiment was fragile even after the House of Representatives on Tuesday approved the biggest U.S. tax overhaul in 30 years.
Due to procedural issues another vote later will take place on Wednesday, but it is still considered as a step closer to the implementation of a major U.S. tax overhaul.
The Senate vote was expected to follow on Thursday.
Financial stocks were mixed, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) dropped 0.48% and 0.49%, while Germany's Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) added 0.03% and 0.16%.
Among peripheral lenders, Italy's Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) retreated 0.29% and 0.91% respectively, while Spanish banks Banco Santander (MC:SAN) and BBVA (MC:BBVA) fell 0.19% and 0.16%.
Elsewhere, Sanofi (PA:SASY) saw shares decline 0.61% after public health experts call for the use of the company's dengue vaccine to be temporarily suspended due to concerns that it could put some people at heightened risk of severe disease.
In London, FTSE 100 edged down 0.10%, weighed by Barratt Developments PLC (LON:BDEV) and Mediclinic International PLC (LON:MDCM), whose shares tumbled 1.39% and 1.28% respectively.
Financial stocks were mixed, as the Royal Bank of Scotland (LON:RBS) dropped 0.54% and Lloyds Banking (LON:LLOY) slid 0.74%, while Barclays (LON:BARC) rose 0.24%. HSBC Holdings (LON:HSBA) shares were steady, dipping only 0.01%.
In the commodity sector, stocks were mostly higher. Shares in Glencore (LON:GLEN) advanced 0.60% and Anglo American (LON:AAL) climbed 0.96%, while rival company Rio Tinto (LON:RIO) rallied 1.06%.
Meanwhile, Shire PLC (LON:SHP) was one of the top performers on the index as shares rebounded from the previous session's losses to jump 5.09% on Wednesday. The drug maker said on Tuesday that a phase 2/3 trial of its treatment for Hunter syndrome in pediatric patients failed to meet its primary and secondary endpoints.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.29% increase, S&P 500 futures signaled a 0.22% gain, while the Nasdaq 100 futures indicated a 0.21% rise.