April 28 (Reuters) – European shares edged lower on Tuesday as investors braced for a week packed with central bank meetings and corporate earnings, and also weighed a diplomatic impasse in U.S.-Iran negotiations.
Investor caution increased after U.S. officials indicated that U.S. President Donald Trump was dissatisfied with Iran’s latest proposal on resolving the two-month-long war. The latest proposal sought to postpone a discussion on Iran’s nuclear programme until the war concludes and shipping disputes are resolved.
The pan-European STOXX 600 was down 0.3% at 606.94 points, as of 0704 GMT.
The war has roiled global markets, driving oil prices higher and reigniting concerns over global inflation and growth, as the vital Strait of Hormuz remains closed.
Wall Street and other global markets have rebounded from a sharp selloff in March, while energy-dependent European stocks remain below pre-war levels.
With corporate earnings in full swing, shares of BP gained 2.3% after the energy giant posted first-quarter profit above expectations.
Shares of Novartis dropped 4.5% as the Swiss drugmaker reported quarterly core operating profit and sales below market estimates.
Norwegian Air Shuttle climbed roughly 4% after the budget airline reported a lower-than-expected operating loss, helped by a stronger crown, jet fuel hedges and the reduced price of EU Emissions Trading System (ETS) allowances.
(Reporting by Twesha Dikshit; Editing by Sherry Jacob-Phillips)
