European stocks and U.S. futures retreated on Tuesday morning following the latest round of earnings reports rolling in from some of Europe’s largest companies.
Results for UBS Group AG were lower than analysts’ estimates, thereby dragging banks lower. Spain’s Banco Santander SA was also down as concerns regarding outflows overshadowed the company’s quarterly results that beat expectations. In contrast, Nestle SA, Kuehne + Nagel International AG, Novartis AG, and ABB Ltd. all posted healthy quarterly earnings that exceeded expectations. The Stoxx Europe 600 index slipped 0.6% during Tuesday’s morning session.
Contracts on the S&P 500 as well as those on the Nasdaq 100 retreated by about 0.5% each. Futures on the Dow Jones Industrial Average fell 0.4%.
In Asia, shares in China and Hong Kong were also on the decline, with the Shanghai Shenzhen CSI 300 Index falling for a fifth consecutive day. The Hang Seng Index headed for its lowest close in five weeks.
The U.S. dollar strengthened on Tuesday, with the Bloomberg Dollar Spot Index rising 0.1%. The euro lost 0.2% against the dollar, falling to $1.1029, while the sterling also fell 0.2% to $1.2462. The Japanese yen remained relatively unchanged at 134.21 per dollar.
