European shares inch lower; U.S. midterm results eyed

German chemicals distributor Brenntag gained 1.6% after it posted a higher-than-expected third-quarter profit, and said it was able to balance European and global supply chains, as rising energy costs affected the continent. As the race heats for control of U.S. Congress, markets are expecting Republican gains, a result that will likely temper Democratic spending and regulation but set up a tough fight over raising the U.S. debt ceiling next year.

European shares dipped at the open on Wednesday, with gains in Germany's Brenntag helping trim declines, while investors awaited the results of U.S. midterm elections to determine a shift of power in Washington.

The pan-European STOXX 600 index edged 0.2% lower by 0813 GMT. German chemicals distributor Brenntag gained 1.6% after it posted a higher-than-expected third-quarter profit, and said it was able to balance European and global supply chains, as rising energy costs affected the continent.

As the race heats for control of U.S. Congress, markets are expecting Republican gains, a result that will likely temper Democratic spending and regulation but set up a tough fight over raising the U.S. debt ceiling next year. A split government is also viewed as a more favourable outcome for financial markets.