ROME: European stocks opened mixed on Thursday, as investors remained cautious ahead of upcoming comments by European Central Bank President Mario Draghi, expected later in the trading session.
During European morning trade, the EURO STOXX 50 inched up 0.03%, France’s CAC 40 dipped 0.02%, while Germany’s DAX 30 added 0.15%.
European equities found support after Reuters reported on Monday that the ECB could cut its deposit rate deeper into negative territory at its December meeting.
Market participants were eyeing two successive speeches by Draghi scheduled later in the day for further indications on the ECB’s next policy moves.
Financial stocks were broadly lower, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) lost 0.28% and 0.75%, while Germany’s Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) declined 0.75% and 0.95%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) retreated 0.28% and 2.37% respectively, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) dropped 0.79% and 0.71%.
On the upside, Hermes International SCA (PA:HRMS) gained 0.51% after the luxury goods maker said third-quarter revenue increased 8% in like-for-like sales.
German industrial group Siemens surged 2.72% after reporting a 33% drop in fourth quarter net profit.
In London, FTSE 100 eased 0.09%, weighed by Rolls-Royce (L:RR) Holding, whose shares dove 17.02% after the stock’s price target was cut by analysts at BNP Paribas from £840 to £685.
In the financial sector, stocks were mixed. Shares in the Royal Bank of Scotland (L:RBS) dipped 0.06% and Barclays (L:BARC) retreated 0.75%, while Lloyds Banking (L:LLOY) rose 0.31% and HSBC Holdings (L:HSBA) rallied 1.24%.
Mining stocks were also mixed, as Anglo American (L:AAL) and Glencore (L:GLEN) tumbled 1.29% and 1.59% respectively, while Bhp Billiton (L:BLT) gained 0.59% and Rio Tinto (L:RIO) rallied 1.31%.
