Investing.com - European stocks were higher on Wednesday, but gains were expected to remain limited by security tensions after a Russian plan was shot down over the Syrian border on Tuesday.
During European morning trade, the EURO STOXX 50 added 0.22%, France’s CAC 40 rose 0.27%, while Germany’s DAX 30 edged 0.12% higher.
Markets were still jittery after news on Tuesday that Turkey shot down a Russian warplane on the Syrian border. Ankara claimed the SU-24 warplane had entered Turkish airspace, but Moscow has rejected those claims.
Responding to the incident, Russian President Vladimir Putin called the downing "a stab in the back," and warned it would have serious consequences for the Russian-Turkish relationship.
Financial stocks were broadly lower, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) dropped 0.42% and 0.43%, while Germany's Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) lost 0.97% and 1.11%.
Among peripheral lenders, Italy's Unicredit (MI:CRDI) fell 0.18%, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) plummeted 1.09% and 3.14% respectively.
Elsewhere, Metro AG ST O.N. (DE:MEOG) surged 5.93% after the German retailer proposed a higher-than-expected dividend and raised its payout ratio.
LafargeHolcim Ltd (VX:LHN) added to gains, with shares up 1.77% after the cement maker raised its dividend guidance for this year and said it will target cash flow of at least 10 billion Swiss francs over the next three years.
In London, FTSE 100 climbed 0.53%, boosted by Thomas Cook Group Plc (L:TCG), whose shares soared 9.61% after reporting full-year earnings that beat estimates.
United Utilities Group Plc (L:UU) was also on the upside, with shares adding 0.16% after the company posted first-half operating profit below estimates.
In the financial sector, stocks were mixed. Shares in HSBC Holdings (L:HSBA) rose 0.25% and Lloyds Banking (L:LLOY) gained 0.52%, while Barclays (L:BARC) slipped 0.14% and the Royal Bank of Scotland (L:RBS) declined 0.41%.
Meanwhile, mining stocks were broadly lower on the commodity-heavy index. Rio Tinto (L:RIO) and Glencore (L:GLEN) lost 0.51% and 0.80% respectively, while Bhp Billiton (L:BLT) tumbled 1.38% and Anglo American (L:AAL) plunged 2.93%.
In the U.S., equity markets pointed to a steady open. The Dow Jones Industrial Average futures pointed to a 0.06% gain, S&P 500 futures signaled a 0.01% uptick, while the Nasdaq 100 futures indicated a 0.03% rise.