European stocks turn lower on Greece uncertainty; DAX down 0.62%

Investing.com - European stock markets turned lower on Tuesday, as a long-awaited bailout deal for Greece failed to reassure investors over the country’s ability to overcome its financial woes.

During European afternoon trade, the EURO STOXX 50 tumbled 0.70%, France’s CAC 40 declined 0.54%, while Germany’s DAX 30 plummeted 0.62%.

Euro zone finance ministers agreed earlier on a EUR130 billion bailout for Greece to avert a sovereign debt default in March after persuading private bondholders to take greater losses and Athens to commit to deep cuts.

But investors remained wary amid uncertainty over Greece’s ability to meet the terms of the deal and pay off even its reduced debt burden.

Meanwhile, the Troika, which is composed of the European Union, European Central Bank and the International Monetary Fund, said in its latest report on Greece's debt sustainability that "additional debt relief" will be required in the future.

Financial stocks turned broadly lower as shares in French lenders BNP Paribas and Societe Generale plunged 0.94% and 1.86% respectively, while Germany’s Deutsche Bank and Commerzbank plummeted 2.86% and 1.49%.

Meanwhile, Fresenius Medical, the world’s biggest provider of kidney dialysis, dropped 0.91% although the Germany-based company said revenue will rise 11% to about USD14 billion in 2012.

On the upside, Wienerberger jumped 6.01% although the world’s biggest brickmaker’s 2011 net income missed analyst estimates.

In London, FTSE 100 fell 0.32%, as U.K. lenders tracked their European counterparts lower.

Shares in Lloyds Banking tumbled 2.19% and the Royal Bank of Scotland dropped 2%, while Barclays and HSBC Holdings declined 1.60% and 0.28% respectively.

In the energy sector, Tullow Oil plummeted 3.97% after results for an exploration well in Sierra Leone were announced, while Essar Energy and BP declined 2.68% and 0.47% respectively.

Meanwhile, mining giant Anglo American added 0.50%, although the U.K.’s Competition Commission said the company’s proposed joint venture with Lafarge could damage competition in the market for bulk cement and other construction materials.

In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a rise of 0.34%, S&P 500 futures signaled a 0.24% increase, while the Nasdaq 100 futures indicated a 0.12% gain.

Also Tuesday, European Union finance ministers were scheduled to meet throughout the day.