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European stocks mostly lower, ECB meeting in focus; Dax up 0.10% [Forexpros](Forexpros Via Acquire Media NewsEdge) Investing.com - Investing.com - European stocks were mostly lower on Wednesday, as investors remained cautious ahead of the European Central Bank's upcoming policy meeting, although Tuesday's euro zone inflation report fuelled fresh expectations for additional easing measures. During European morning trade, the DJ Euro Stoxx 50 fell 0.27%, France's CAC 40 slipped 0.13%, while Germany's DAX edged up 0.10%. Markit research group earlier said that Spain's manufacturing purchasing managers' index rose to 52.6 in September from a reading of 52.8 the previous month. Analysts had expected the index to slip to 52.2. On Tuesday, data showed that the annual rate of euro area inflation fell to a five year low of 0.3% in September. The ECB targets an inflation rate of close to but just below 2%. The weak inflation data added to pressure on the ECB to implement additional stimulus measures to stave off the threat of deflation in the region, ahead of its monthly meeting on Thursday. The ECB unexpectedly cut rates to record lows earlier this month in a bid to shore up growth in the region. Financial stocks were broadly higher, as French lenders BNP Paribas (PARIS:BNPP) and Societe Generale (PARIS:SOGN) added 0.15% and 0.26%, while Germany's Deutsche Bank (XETRA:DBKGn) and Commerzbank (XETRA:CBKG) advanced 0.35% and 1% respectively. Among peripheral lenders, Italy's Unicredit (MILAN:CRDI) edged up 0.08% after Austrian real estate firm S Immo (VIE:SIAG) made an offer for the lender's stake in CA Immobilien Anlagen (VIE:CAIV). Spanish bank BBVA (MADRID:BBVA) gained 0.42%. Elsewhere, Orange (PARIS:ORAN) plummeted 2.18% as Bpifrance said it is selling a stake in the French telecom company for as much as €595 million. In London, FTSE 100 fell 0.38%, weighed by Tesco, down 1.38% amid reports the food retailer is considering closing its video-streaming business if a buyer isn't found. The company also announced that the U.K.'s Financial Conduct Authority has started an investigation into its overstatement of a profit estimate. Financial stocks were also on the downside, as Lloyds Banking (LONDON:LLOY) slipped 0.21% and the Royal Bank of Scotland (LONDON:RBS) slumped 0.43%, while HSBC Holdings (LONDON:HSBA) lost 0.64%. Barclays (LONDON:BARC) overperformed however, advancing 0.63%. Mining stocks added to losses with shares in Bhp Billiton (LONDON:BLT) down 0.41% and Rio Tinto (LONDON:RIO) sliding 0.38%, while Glencore Xstrata (LONDON:GLEN) dropped 0.52% and Fresnillo (LONDON:FRES) tumbled 0.99%. On the upside, Afren (LONDON:AFRE) surged 3.96% as the U.K. explorer in Nigeria that is currently probing three unauthorized payments to partners said an independent review by Willkie Farr & Gallagher LLP has not found more improper payments. In the U.S., equity markets pointed to a steady to lower open. The Dow 30 futures pointed to a 0.03% dip, S&P 500 futures signaled a 0.07% loss, while the NASDAQ 100 futures indicated a 0.13% fall. Later in the day, the euro zone was to produce data on manufacturing activity. The U.S. was to release the ADP report on private sector job creation, as well as a report by the Institute of Supply Management on manufacturing activity. Investing.com offers an extensive set of professional tools for the financial markets. Read more News on Investing.com and download the new Investing.com apps for Android and iOS! (c) 2014 Fusion Media Limited. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info). |