European equities closed flat to lower on Thursday, as hopes faded that a reforms-for-aid deal between Greece and its lenders was getting nearer.
The pan-European Euro Stoxx 600 Index closed around 0.6 percent lower, with all major bourses cooling off after a strong end to Wednesday's session.
This came after European Commission Vice President Valdis Dombrovskis poured cold water on reports that a Greek deal could be nearing, saying the two sides still had some way to go before any agreement could be drawn up, Reuters reported. German Finance Minister Wolfgang Schaeuble made similar comments to ARD Television, saying he was surprised by the upbeat tone from Greek officials.
Meanwhile, at the Group of Seven (G-7) meeting of finance ministers and central bank chiefs, Greece was on the agenda in discussions, as well as talks on how to revive global growth. The talks continue until Friday.