European shares flat as investors take stock of mixed earnings updates

Feb 10 (Reuters) – Europe’s benchmark share index was subdued on Tuesday as shares of BP fell after the energy giant ‍suspended share buybacks, while gains in luxury stocks following a better-than-expected earnings update from Kering limited declines.

The pan-European STOXX 600 index was flat at 621.28 points at 0815 GMT and was just ‌a whisker away from an intra-day ‌all-time high.

BP dropped 4% after the UK company posted quarterly profit in line with analyst expectations and suspended its share buyback programme as it wrote ​down around $4 billion in its renewables and biogas businesses. The broader energy sector slipped ‍1.1%.

On the flip side, ​luxury stocks gained 1.2%, led by ​a 13.5% jump in France’s Kering as investors ‍were relieved that it reported a slightly smaller-than-expected drop in fourth-quarter sales, as new CEO Luca de Meo battles to stabilise the Gucci owner.

Investors were also exercising caution ahead ‍of a slew of economic data out of the U.S. this week, including pivotal inflation and jobs ‍reports.

Among others, ‍TUI , Europe’s largest travel operator by ​market share, reported an operating ​profit ⁠above expectations for its first quarter, ‌although concerns about weaker forward bookings sent shares down 2.8%.

Sweden’s Thule gained 12.7% after the recreational equipment maker beat quarterly revenue expectations, helped by acquisitions.

(Reporting by Johann M Cherian in Bengaluru; Editing by ⁠Mrigank Dhaniwala)