European bourses tracked moderately lower midday Tuesday as traders awaited results from the European Central Bank meeting slated for Thursday, while also considering the tumult in the Middle East and Eastern Europe. Food and beverage stocks edged higher, yet oil and property issues lagged behind. Investors were monitoring muted Wall Street futures, along with the uneven closes from overnight trading in Asian exchanges.
The pan-continental Stoxx Europe 600 Index was down 0.2% midway through the session. In sector performances, the Stoxx Europe 600 Technology Index fell by 0.4%, while the Stoxx 600 Banks Index remained steady. The Stoxx Europe 600 Oil and Gas Index declined by 0.7%, contrasting with a positive inclination of 0.3% for the Stoxx 600 Europe Food and Beverage Index.
Additionally, the REITE, a European REIT index, saw a drop of 0.7%, and the Stoxx Europe 600 Retail Index dropped by 0.3%. Examining national market indexes, Germany's DAX remained flat, while the FTSE 100 in London decreased by 0.6%. Similarly, the CAC 40 in Paris and Spain's IBEX 35 faced declines of 0.6% and 0.1%, respectively.
Meanwhile, yields on benchmark 10-year German bonds increased, reaching nearly 2.13%. Front-month North Sea Brent crude-oil futures showed a slight decrease of 0.6%, settling at $71.74 per barrel. The Euro Stoxx 50 volatility index went up by 3.3% to 15.16, indicating below-average volatility for European stock markets in the coming 30 days, which is viewed as a positive signal.
A reading above 20 suggests potential for choppier markets ahead, while values below 20 indicate calmer exchanges..