European shares muted after three days of gains

European stocks were off to a muted start on Tuesday following three sessions of gains as gloomy trading in Asia and an unexpected drop in German industrial orders offset a jump in commodity stocks. The pan-European STOXX 600 index fell 0.1% by 0717 GMT, with automakers sliding the most.

European stocks were off to a muted start on Tuesday following three sessions of gains as gloomy trading in Asia and an unexpected drop in German industrial orders offset a jump in commodity stocks.

The pan-European STOXX 600 index fell 0.1% by 0717 GMT, with automakers sliding the most. Data showed orders for German-made goods posted their sharpest slump in May since the first lockdown in 2020, hurt by weaker demand from countries outside the eurozone.

The oil and gas sector jumped 0.8% as crude prices hit their highest levels since 2018 after OPEC+ discussions were called off. UK-listed oil majors BP and Royal Dutch Shell gained almost 1% each.

French train maker Alstom fell 7.6% to the bottom of STOXX 600 after it forecast negative free cash flow for its fiscal year.