Markets in Europe were lower on Friday morning, after strong gains earlier this week, with investors digesting corporate earnings and fluctuations in currency markets. The pan-European Euro Stoxx 600 was 0.28 percent lower with most sectors trading in the red. Banking stocks were the worst performers in early trade, down by 0.9 percent. The Italian bank UniCredit was down by more than 3 percent after Italian media reports, not verified by CNBC, said its vice chairman confirmed the bank was not selling its stake in Mediobanca. The lender is also starting its capital increase earlier than planned, on February 6, according to the reports.
The Finnish ship technology firm Wartsila was near the top of the European benchmark after reporting better-than-expected profits and new orders in the last quarter.
Shares of the Danish telecom company TDC dropped more than 4 percent in early trade after news that its Nordic rival Telia is no longer buying the firm due to legal, financial and political hurdles, Reuters reported.
UBS beats expectations
The Swiss bank UBS delivered 738 million Swiss francs ($737.3 million) of fourth-quarter net profit, coming in short of last year's comparable 949 Swiss francs, but clearly ahead of a Reuters consensus forecast of 339 million Swiss francs. Its shares were down by more than 2 percent early Friday.
BT reported an operating profit of 729 million pounds ($913.58) for its third quarter. Its reported revenue went up by 32 percent. The firm announced that the head of its European division is leaving after an accounting scandal that sank its shares earlier this week. Its shares moved marginally lower in early trade.
LVMH moved higher Friday after reporting better-than-expected results.Apart from looking at several corporate earnings reports, investors were also focused on Washington where U.K. Prime Minister Theresa May will meet U.S. President Donald Trump. May said Thursday that "opposites attract" as she called for a strengthening in the "special relationship" with the U.S.
Two other world leaders are meeting this Friday. Chancellor Angela Merkel of Germany is receiving France's President Francois Hollande in Berlin to discuss the future of the EU.
On Friday's calendar is the release of the latest household loans figures for the euro zone.
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