The Stoxx 600 started Wednesday trade hovering around the flatline, 0.03 percent points higher.
Basic Resources stocks were once again the best performers, climbing about 1 percent at the start of the trading.
Banks, insurance and telecoms stocks were moving south. Italian banks were leading losses as the Italian referendum approaches. Shares of Banca Pop Milano, Ubi Banca and Banco Popolare were dropping about 3 percent.
U.K. Finance Minister Philip Hammond will present his first U.K. budget on Wednesday, known as theAutumn Statement, after telling Britain that the country needed a “fiscal reset.” He is expected to announce an increase in the minimum wage and investments in infrastructure to offset negative impacts from Brexit.
“The Chancellor probably will ease policy further in the next budget, but we doubt that he will set policy positively to stimulate the economy next year,” Pantheon Macroeconomics said in a note.
The FTSE 100 was up by 0.2 percent at the start of Wednesday’s trading. Shares of real estate agency Foxtons were down by 11 percent as the government prepares to cut down tenant fees.
Oil prices lower
Oil prices were trading lower on Wednesday on doubts that OPEC members will reach a consensus over an output cut. OPEC members are considering a cut of 4 to 4.5 percent in production but it is unclear whether Iraq and Iran would support the deal, according to Reuters. Russia announced that it was participating in OPEC consultation talks later this month.
On the data front, Markit is set to publish its November flash PMI figures for the euro area at 9.00 a.m. London time.
Source: CNBC
