BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - After ending Tuesday's session in the green, the European markets weakened on Wednesday. Investor sentiment had been much better during the previous session, after China softened its trade rhetoric and said it is willing to open up its economy. However, investors have turned cautious as tensions over the conflict in Syria have flared.
Russia has threatened to shoot down any U.S. missiles fired at neighboring Syria if the U.S. decides to strike Syrian bases in response to a chemical attack over the weekend. U.S. President Donald Trump has warned Russia to 'get ready' for missiles being launched at Syria.
The pan-European Stoxx Europe 600 index weakened by 0.58 percent. The Euro Stoxx 50 index of eurozone bluechip stocks decreased 0.56 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, lost 0.51 percent.
The DAX of Germany dropped 0.83 percent and the CAC 40 of France fell 0.56 percent. The FTSE 100 of the U.K. declined 0.13 percent and the SMI of Switzerland finished lower by 0.54 percent.
In Frankfurt, Deutsche Telekom advanced 2.36 percent after reports that Sprint and T-Mobile have decided to restart talks to merge.
Evotec slid 0.27 percent after it announced a strategic collaboration with Petra Pharma Corp.
In Paris, Air France gained 0.05 percent. The airline has reportedly asked striking unions to resume talks after doubling the 1 percent immediate pay increase previously offered.
In London, Tesco surged 7.18 percent after its operating profits in the last three months of its financial year rose 28 percent.
Chocolate maker Barry Callebaut tumbled 8.38 percent in Zurich after its Q2 profit missed forecasts.
Eurozone house prices grew at a faster pace in the fourth quarter, Eurostat reported Wednesday. House prices increased 4.2 percent year-on-year in the fourth quarter, faster than the 4 percent rise in the third quarter.
France manufacturing confidence deteriorated in March, survey data from Bank of France showed Wednesday. The manufacturing sentiment index fell to 103 in March from 105 in February. The score was forecast to remain unchanged at 105.
UK industrial production growth eased more-than-expected on weak mining and manufacturing output in February, the Office for National Statistics said Wednesday. Industrial output edged up 0.1 percent month-on-month in February, compared to January's 1.3 percent increase. Production was expected to climb 0.4 percent.
The UK visible trade deficit narrowed to a 5-month low in February, the Office for National Statistics said Wednesday. The trade in goods showed a shortfall of GBP 10.2 billion in February versus a GBP 12.2 billion deficit posted in January. This was the lowest shortfall since last September.
China's inflation eased more-than-expected in March as demand decreased after the Lunar New Year holidays. Similarly, factory gate inflation weakened for the fifth consecutive month. Consumer price inflation slowed to 2.1 percent in March from 2.9 percent in February, the National Bureau of Statistics reported Wednesday. The rate was expected to ease to 2.6 percent.
Consumer prices in the U.S. edged lower in the month of March, according to a report released by the Labor Department on Wednesday. The Labor Department said the consumer price index dipped by 0.1 percent in March after rising by 0.2 percent in February. Economists had expected consumer prices to come in unchanged.
Copyright RTT News/dpa-AFX