Europe close: Stocks end mixed as death toll from Mariupol siege hits tens of thousands
Stocks in Europe started the week on a mixed note amid the ongoing grim news out of the Ukrainian port city of Mariupol which was under siege by Russian military and concern that the fighting might not end as soon as had seemed possible just a week before.
News that the European Union foreign ministers would on Thursday discuss possible sanctions on Russian oil imports also dragged on sentiment.
"Last week’s attempt to reach escape velocity for equities seemed to mark a turning point after weeks of declines and volatility," said IG chief market analyst Chris Beauchamp.
"But the bounce might well founder given the lack of heavyweight news this week; earnings season looks to be the next big hurdle for stocks, and while it is too early to get a real sense of how the war is affecting earnings, some colour on this topic in the post-release calls is fairly likely, giving markets a bit of a sneak peek into the future."
The pan-European Stoxx 600 ended little changed, up 0.04% on the day to 454.79, alongside a 0.30% gain for the FTSE Mibtel to 24,294.71.
But the German Dax gave back 0.60% to 14,326.97 and France's Cac-40 lost 0.57% to 6,582.33.
Front month Brent crude oil futures climbed 7.56% to $115.98 per barrel on the news out of Brussels.
Basic Resources paced gains on the Stoxx 600, as the fighting in Ukraine buoyed commodity prices, with the corresponding sector gauge jumping 4.18%, while that for Oil&Gas was up by 3.03%.
"As Ukraine refuses to surrender to Russian forces in Mariupol despite the devastating siege of city, the chances of a breakthrough in negotiations are fading, with a gulf in position separating the two countries," chipped in Hargreaves Lansdown analyst Susannah Streeter.
A deputy mayor from Mariupol said the death toll in Mariupol from the siege could be 20,000 or more, according to The Economist.
At the weekend, Turkey's foreign minister said that Russia and Ukraine had made significant progress on key matters in the talks, indicating that a ceasefire might not be far away.
However, come Monday, Kremlin spokesman, Dmitry Peskov said that President Vladimir Putin did not think that the two countries' positions on the status of Crimea and the Donbass were near enough in order to meet with his Ukrainian counterpart in person to agree a ceasefire.
Also boosting the oil price was a Houthi attack on a Saudi energy terminal.
In Germany, producer price inflation soared to a record 25.9% in February, up from 25.0% in January and 24.2% in December 2021, the Federal Statistics Office said. The jump in factory gate cost, a key indicator of consumer prices, was its largest since 1949.
In equity news, shares in Chile-based copper miner Antofagasta rose as it announced an exit from its Pakistan copper and mining project.
Consumer products giant PZ Cussons ticked up after saying it had bought UK baby and child personal care company Childs Farm for £36.8m.