European stocks opened trading lower as investors in the region weighed political uncertainty in France following Sunday’s election result.
The pan-European Stoxx 600 index is down 0.37% at 514.51 points, with most sectors in the red. On the individual boards, the British FTSE 100 is up marginally by 0.02%, the German DAX is down 0.43%, the French CAC 40, the Italian FTSE MIB is down 0.59% and the Spanish IBEX 35 is down 0.50%.
Oil and gas stocks led the losses, down 1.23%. BP fell 3.5% after the oil major said in a statement that it expects a hit to second-quarter earnings of $1 billion to $2 billion from impairments and $500 million to $700 million due to “significantly lower realized refining margins.”
European markets meanwhile are pricing in the prospect of a prolonged period of political uncertainty in France as it faces a fractured parliament following Sunday’s parliamentary election result. The far-left New People’s Front won the largest number of seats in the final round of voting, denting an expected rise of Lepen.
