Investing.com - European stocks were broadly lower on Tuesday, as markets were jittery ahead of upcoming earnings reports, although upbeat German trade data lent support, as well as comments made by European Central Bank Vice President Benoit Coeure over the weekend.
During European morning trade, the DJ Euro Stoxx 50 fell 0.24%, France’s CAC 40 edged down 0.15%, while Germany’s DAX slid 0.32%.
Official data earlier showed that Germay''s trade surplus widened to €18.8 billion in May, from €17.2 billion in April whose figure was revised down from a previously estimated €17.7 billion. Analysts had expected the trade surplus to narrow to €16.4 billion in May.
European equities found support on Monday after ECB Vice President Benoit Coeure said Sunday that rates will remain on hold for an extended period to ensure monetary stability in the euro zone.
The ECB left all rates on hold at its meeting last Thursday, after cutting rates to record lows in June in a bid to stave off the threat of persistently low inflation in the region.
Financial stocks were broadly lower, as French lenders Societe Generale (PARIS:SOGN) and BNP Paribas (PARIS:BNPP) retreated 0.48% and 0.85%, while Germany''s Deutsche Bank (XETRA:DBKGn) tumbled 1.29%.
Among peripheral lenders, Italy''s Intesa Sanpaolo (MILAN:ISP) and Unicredit (MILAN:CRDI) declined 0.81% and 0.82% respectively, while Spanish banks Banco Santander (MADRID:SAN) and BBVA (MADRID:BBVA) slid 0.31% and 0.81%.
Elsewhere, Air France-KLM (PARIS:AIRF) plunged 5.38% after the airline cut its full-year earnings forecast amid overcapacity on North American and Asian routes, poor demand for freight and the fallout from a dispute with Venezuela.
In London, FTSE 100 slipped 0.22%, weighed by losses in the financial sector.
Shares in Barclays (LONDON:BARC) dipped 0.06% and HSBC Holdings (LONDON:HSBA) edged down 0.18%, while the Royal Bank of Scotland (LONDON:RBS) dropped 0.88% and Lloyds Banking (LONDON:LLOY) lost 1.08%.
Meanwhile, mining stocks were mostly higher as Bhp Billiton (LONDON:BLT) rose 0.28% and Glencore Xstrata (LONDON:GLEN) jumped 1.05%, while Fresnillo (LONDON:FRES) and Rio Tinto (LONDON:RIO) saw shares rally 1.24% and 1.25% respectively.
Marks & Spencer (LONDON:MKS) added to gains, up 0.78%, after the clothing retailer said quarterly revenue at its food unit climbed 1.7%. The company also reported a 12th straight quarterly drop in non-food sales.
In the U.S., equity markets pointed to a steady to lower open. The Dow 30 futures pointed to a 0.07% loss, S&P 500 futures signaled a 0.13% fall, while the Nasdaq 100 futures indicated a 0.03% dip.