By Reuters
European shares nudged lower on Tuesday, weighed down by mixed corporate earnings, while market sentiment over a potential U.S. trade deal soured following reports that the bloc was preparing counter-measures.
The pan-European STOXX 600 index was down 0.3% at 545.1 points, as of 0714 GMT.
European chemicals stocks led sector declines, falling 1.7%, as shares of Akzo Nobel dropped 4.2% after the Dulux paint maker lowered its core profit outlook for 2025.
Sartorius Stedim Biotech slipped nearly 7%, the biggest percentage decliner in the STOXX 600, after the French lab supplies manufacturer reported its half-year results.
Conversely, Compass Group gained 4.5% after the British food catering firm agreed to buy European premium food services business Vermaat Groep for about 1.5 billion euros ($1.75 billion) including debt.
In trade, EU diplomats said the 27-nation bloc was considering a broader range of counter-measures against the United States, which could allow the EU to target U.S. services or curb a