Banking Sector Leads European Stocks Lower

European stocks opened with modest losses on Tuesday, shrugging off gains on Wall Street and in Asia.

The Stoxx Europe 600 inched down 0.3% in the early minutes of trading, led lower by the banking sector.

Shares of oil and gas companies also declined as Brent crude oil pulled back 0.6% to $52.86 a barrel. Crude oil prices had hit a one-year high on Monday on news that Russia would support the Organization of the Petroleum Exporting Countries' attempt to cut its collective output.

In currencies, the WSJ Dollar Index, which measures the dollar against a basket of 16 currencies, was last up 0.3%, supported by comments late Monday from Federal Reserve Bank of Chicago President Charles Evans, which added to investors' expectations for an interest rate rise in December.

The British pound fell 0.6% to $1.2290, bringing losses so far this year close to 17%, while the euro was down 0.2% against the dollar at $1.1121.

Earlier, Japan led gains in Asian markets as the dollar strengthened 0.3% against the yen to ¥ 103.8950. A weaker yen tends to boost shares of Japanese exporters.

Shares in Shanghai added 0.6%, while Hong Kong's Hang Seng fell 1.4% amid a steep fall in property stocks.

Kenan Machado contributed to this article.

Write to Riva Gold at [e-mail]

(END) Dow Jones Newswires

October 11, 2016 05:35 ET (09:35 GMT)

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