- Russia sends humanitarian aid to Ukraine
- US backs removal of Iraqi PM
- Gaza negotiations underway
- German investor confidence data due
FTSE 100: -0.20%
CAC 40: -0.65%
FTSE MIB: -0.36%
IBEX 35: -0.08%
Stoxx 600: -0.23%
European stocks moved into the red as investors weighed geopolitical developments and awaited a report on German investor confidence.
Russian President Vladmir Putin on Tuesday morning sent 280 trucks to deliver humanitarian aid to southeast Ukraine. Humanitarian aid included food, medicine and drinking water. However, the Red Cross said it was still waiting for more information on the contents of the convoy before agreeing to a mission.
Meanwhile, movements in Iraq and Gaza were also being closely watched by markets.
US President Barack Obama has voiced his support for the removal of Nouri al-Maliki as Prime Minister of Iraq and urged his replacement, deputy speaker of the parliament, Haider al-Ibadi, to move forward with formation of a new cabinet.
Israeli and Palestinian negotiators began talks on Monday to solve the conflict in Gaza amid a three-day ceasefire between the countries.
In Germany, ZEW's investor confidence index is forecast to fall to 54 in August from 61.8 in July.
"Lately German economic data has been awful, with gross domestic product, consumer price index and unemployment numbers all struggling," said Alpari UK analyst James Hughes. He said: "The issue the EU has is that without a strong German it has no chance of real economic recovery.
"Mario Draghi has thrown everything by the quantitative easing labelled kitchen sink at the boosting dragging inflation to the upside and kick starting growth but all of these measures will worthless should Germany not show signs of strength. Today's reading will tell us just how well people think the plans by the European Central Bank are working."
Ladbrokes advanced after the UK operator of betting shops reported a 1.6% increase in first-half revenue to £577.8m. The company forecast a return to growth in the second half of the year after pre-tax profit dropped in the first six months.
Serco Group rallied as the outsourced-services provider said Aggreko's Angus Cockburn will take over as chief financial officer.
Henkel declined as the German maker of Loctite glue and Persil washing detergent said earnings growth will slow in the second half, reflecting the impact of crises in Ukraine and the Middle East.
Rhoen-Klinikum slumped following news that Berenberg and Goldman are selling shares
in the hospital operator.
The euro fell 0.13% to $1.3367.
Brent crude futures dropped 0.81% to $103.83 per barrel, according to the ICE.