Europe close: Stocks only slightly lower even as Putin says Kyiv 'not being serious' in talks
European shares were slightly lower on Tuesday as talks between Russian and Ukrainian negotiators continued, Chinese Covid cases climbed, and oil prices continued to retreat.
The headlines coming out of the talks between Kyiv and Moscow on Tuesday were poor, with Russian President, Vladimir Putin, having reportedly told European Council President, Charles Michel, that Kyiv "is not showing a serious attitude toward finding mutually acceptable solutions" aimed at bringing fighting to a halt.
By the end of trading, the pan-European Stoxx 600 index had fallen 0.28% to 435.12, although it had come well off its session lows.
That was alongside a 0.09% dip for the German Dax to 13,917.27 and a 0.23% drop on the French Cac40 to 6,355.0.
Front-dated Brent crude oil meanwhile retreated 6.03% to $100.45 per barrel on the ICE, alongside a euro that was little changed versus the US dollar at 1.0949.
Weighing on crude were hopes for a peace deal between Ukraine and Russia, the possibility that Venezuelan crude might return to international markets, and risks to the Chinese economy from the pandemic.
Peace talks between Kyiv and Moscow were ongoing even as Russian forces continued to shell Ukrainian cities and their civilian populations. Meanwhile, China and Russia were denying claims by Washington that Moscow had asked Beijing for military assistance.
Asian markets had slumped overnight after China reported that the number of new Covid cases was climbing. The Shanghai Composite and Hong Kong’s Hang Seng index were down 5% and 6%, respectively.
Investors were also eyeing the US Federal Reserve meeting on Wednesday, with markets widely expecting a 25 basis point rate rise to offset inflation. The Bank of England was expected to follow suit a day later.
In equity news, Swiss lab instrument maker Tecan Group slumped 16% despite a strong rise in 2021 profit.
Shares in Swedish fashion retailer H&M slipped 3.2% after reporting a rise in quarterly sales that was in line with expectations.
Tobacco and nicotine products maker Swedish Match fell 4% after the company said it was suspending plans to spin off and list its US cigar business.
Dutch tech investor Prosus, which has a stake in China's Tencent, retreated 7% amid continued weakness in Chinese tech shares.