European stock markets closed lower on Tuesday, as Wall Street remained lower after a large rise in producer prices in October raised inflation concerns, and lower oil prices offered little help. Exporters fell as the euro traded within a half cent of a record high against the dollar. The European Central Bank did not intervene.
The Financial Times-Stock Exchange 100 lost 32.70 points, or 0.68%, to close at 4770.40. HSBC fell 3.15% after reporting disappointing third-quarter household net income figures at its U.S. division. Meanwhile, the Government's expected proposal to outlaw smoking hit tobacco and liquor associated stocks: Imperial Tobacco, BAT, Enterprise Inns, and Mitchell & Butlers all fell sharply. Among companies reporting, Vodafone announced a 100% increase in its interim dividend per share, with the current expectation the final dividend will also increase by 100%.
In Germany, the DAX lost 17.12 points, or 0.41%), to close at 4117.22. German car makers gave up early gains after an industry survey showed car sales slipped for a fourth month amid slowing economic growth. German car makers BMW and VW enjoyed some positives with the former's market share rising 25% month over month, while VW's gained 2.9%. Allianz dipped 0.80% following another broker downgrade: this time to neutral from outperform by CSFB. Munich Re slipped 0.44% after saying it received subpoenas from two U.S. states in connection with ongoing bid-rigging investigations. Infineon reversed gains from this morning after the Nasdaq fell.
France's CAC-40 lost 26.70 points, or 0.70%, to close at 3794.27, as banking stocks Europe-wide were pulled back by a sharp share price fall in the UK-listed HSBC, as concerns about its U.S. consumer-finance unit weighed. BNPP fell 1.11% and SocGen declined 0.6%. Overall, shares consolidated recent gains, which were driven by a compound decline in oil prices of over 14% from record highs acheived just three weeks ago.
Asian markets ended mostly lower on Tuesday, with Japan's Nikkei average sliding 65.82 points, or 0.59%, to 11161.75, on losses in key tech stocks. Kyocera skidded 2.37% while Advantest fell 1.66%. But Elpida Memory, which debuted on Monday, jumped 4% after the company said it aimed for an operating margin of 15% or more in the mid- to long-term. The Nikkei's slide was limited by continued gains in financials, with Mizuho Financial up 1.35% while UFJ Holdings added 1.3%.
In Hong Kong, the Hang Seng Index down a fraction of a percent, with financial names leading losses. The benchmark index lost 186.14 points, or 1.34% to close at 13,746.08.
Canada's benchmark TSX/S&P lost 14.78 points, or 0.16%, to close at 8,952.00.