Europe ends on a mixed note, after trade concerns fuel recent sell-off; Inmarsat sinks 12.5%

Key Points
  • The pan-European Stoxx 600 ended the day up 0.15 percent provisionally, off from its session highs.
  • Major industries in the region pointed in different directions by the close.

European markets finished Tuesday's session in different directions, as investors tried to get to grips with the current trade conflict between the U.S. and other major economies.

The pan-European Stoxx 600 ended the day up 0.02 percent provisionally, off from its session highs. Major industries in the region, however, pointed in different directions by the close, echoing a similar picture seen in other major markets.

The U.K.'s FTSE 100 rose 0.37 percent by the close, while France's CAC 40 slipped 0.05 percent. Germany's DAX fell further, down 0.29 percent by the close. In the peripheral market space, indexes finished mixed.

Overall, markets across the region and overseas were seen as recovering from trade worries delivered in recent trading sessions. Such concerns reached a fresh high Monday following reports that President Donald Trump intends to block some Chinese companies from investing in U.S. technology.

Treasury Secretary Steven Mnuchin said the reports were “fake news” and that the measures would actually apply to all countries and not just China. While the Dow tumbled more than 300 points Monday, Wall Street has since recovered, trading higher on Tuesday. However, gains have been capped somewhat, as mixed messages out of the U.S. administration kept markets on edge.

Inmarsat shares slump

Looking across the European benchmark, Ingenico jumped 5.85 percent, making it one of Tuesday's biggest gainers, after Bloomberg reported that the company is on track to get a takeover bid from private equity firms.

Eurofins Scientific soared higher, finishing up over 8 percent, following an announcement that the company had raised its revenue target, after getting an antitrust clearance to purchase Covance.

Elsewhere, ProSiebenSat.1 rose 1.75 percent and Wirecard jumped almost 4.5 percent, after UBS lifted its target price on both German-listed stocks.

Inmarsat however sank to the bottom of the STOXX 600, tumbling 12.5 percent after Eutelstat Communication denied it would make a bid for the firm. Meantime, U.K. grocer Sainsburys dropped over 2 percent after industry data from Kantar Worldpanel revealed that sales had dipped over the last 3 months, while its rivals all saw a rise in sales.

In corporate news, Uber is due to find out Tuesday if its attempts to overturn a ban to operate in London will be successful. A decision had not yet announced by the time markets in Europe closed.

Uber London decision expected today

In terms of data, U.K. financial mortgage approvals showed a further recovery in May following their first-quarter decline, but remained below their 12-month average.

"Even so, a further recovery in mortgage approvals from here isn’t likely. Mortgage rates likely will rise a little further over the coming months," Samuel Tombs, chief U.K. economist at Pantheon Macroeconomics, said in a note.

Elsewhere, oil prices fluctuated in afternoon trade, but ticked higher by the European close, following reports of increased Saudi output. Intensified trade concerns also had an impact on price movements.