European Equities Close in the Red

European stocks failed to maintain early gains and booked losses on Wednesday, as muted risk sentiment amid lingering growth concerns in the European economy coincided with mixed corporate results.

The Eurozone’s Stoxx 50 index dropped 0.4% to 4,990, while the pan-European Stoxx 600 closed 0.5% lower at 505.

Kering led the losses among the currency bloc’s blue chips with a near 7% plunge, after warning investors that weakness for discretionary spending in its key Asian markets is likely to hamper its operating profit this year, led by the bearish outlook in its flagship brand, Gucci.

Insurers also booked losses with Allianz and AXA both dropping close to 2%, while the Deutsche Boerse slid 4% following its earnings release to cap off a poor session for financials.

On the other hand, tech shares booked gains, with Infineon adding more than 5%, tracking the sharp gains for ASM International due to strong results.