By Emily Horton
Europe’s markets were mixed on Wednesday, with banking and autos sectors under pressure and investors waiting for further details on a potential U.S./ China trade deal.
How are markets performing?
The Stoxx Europe 600 /zigman2/quotes/210599654/delayed XX:SXXP -1.18% was flat on at 375.69, after finishing up 0.15% on Tuesday.
But the FTSE 100 /zigman2/quotes/210598409/delayed UK:UKX -1.53% rose by 0.1% to 7,190.46, Italy’s FTSE MIB index /zigman2/quotes/210598024/delayed IT:I945 -1.35% was up by 0.2% to 20,752.10 and Spain’s IBEX 35 /zigman2/quotes/210597995/delayed XX:IBEX -1.62% lifted 0.1% to 9,268.30.
The pound /zigman2/quotes/210561263/realtime/sampled GBPUSD +0.2449% fell to $1.3147 from $1.3177 late in New York on Tuesday. While the euro /zigman2/quotes/210561242/realtime/sampled EURUSD 0.0000% remained mostly flat fetching $1.1307.
What’s driving the markets?
Meanwhile, banks came under heavy pressure after Tuesday’s reports that billions of Russian funds have allegedly been channeled via Lithuanian financial institutions to banks that include those in the Netherlands. Shares of Dutch lenders ABN AMRO /zigman2/quotes/209088556/delayed NL:ABN -4.08% and ING /zigman2/quotes/203351007/delayed NL:INGA -0.95% , among others, fell.
Elsewhere, investors are anticipating further trade deal developments after Monday’s media flurry that an agreement between U.S. and China will soon be reached.
What stocks are active?
Legal & General Group PLC /zigman2/quotes/201125471/delayed UK:LGEN -0.92% lost 4%, despite announcing a profit rise in 2018. “Shares have slid back from three year highs in early trading, no doubt due to some profit-taking, after a 24% rise from the lows we saw in December,” said Michael Hewson, chief market analyst at CMC Markets U.K., in a note.
Another of Europe’s biggest losers was the online food-deliver company Just Eat PLC, which fell by 4% amid increasing delivery costs outlined in the group’s earnings.
“Just Eat are trying to work with the same sort of branded restaurants their rivals are targeting, and offering their own delivery offering. None of this comes cheaply, and the costs are holding profits back,” said Steve Clayton, manager of the Hargreaves Lansdown’s select funds.
British American Tobacco PLC /zigman2/quotes/209116881/delayed UK:BATS -2.22% added 4%, reclaiming some of its loses after Monday’s dip, while in Tullow Oil PLC /zigman2/quotes/205079109/delayed UK:TLW -2.77% rose 3%.