By Anna Isaac 

Stocks across Europe edged lower Tuesday as Brexit uncertainty weighed on investor appetite ahead of another day of voting by U.K. lawmakers on the terms of the nation's exit from the European Union.

The pan-continental Stoxx Europe 600 index ticked down 0.3%, with investors also assessing the health of businesses in the region as they evaluated third-quarter results. Shares in Reckitt Benckiser Group PLC fell by nearly 5%, its biggest drop in more than six months after the consumer-goods company issued its second profit warning this year.

China's Shanghai Composite Index gained 0.5% after President Trump said Monday that a trade deal between the U.S. and China "is coming along very well," leading to speculation that the two nations may reach a tariff agreement in the coming months. His top trade negotiator also said that the U.S. aims to finish the first phase of talks by mid-November when the two countries meet in Chile.

The British pound was flat against the dollar as lawmakers prepared to cast a vote on a divorce agreement with the European Union. Analysts expect the pound to face further volatility in the days ahead.

Sovereign bond yields in major European economies fell amid the continuing political upheaval. Bond yields fall as prices rise. The German 10-year bund was down 2.9 basis points to minus 0.370%, while the yield on the U.K. 10-year gilt ticked down to 0.729%.

Later Tuesday, markets will get an update on the health of the housing market in the U.S. when the National Association of Realtors publishes figures on existing-home sales for last month. Economists surveyed by The Wall Street Journal expect sales to have fallen by 0.2%.

Earnings season continues in the U.S. with a range of household names reporting early morning, including Harley-Davidson, United Parcel Service and Procter & Gamble. In the afternoon, tariff-hit Whirlpool will report earnings, along with social media company Snap Inc.

Write to Anna Isaac at anna.isaac@wsj.com

 

(END) Dow Jones Newswires

October 22, 2019 05:22 ET (09:22 GMT)

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