European stocks drop

European stocks dropped on Wednesday, outpacing losses in Asia and U.S. futures as investors weighed the rout in oil prices, a mixed bag of data on China’s economy and the latest trade developments. Crude reversed an early drop and the dollar was steady.

The Stoxx Europe 600 Index was dragged down by mining and energy shares as good news for the auto sector wasn’t enough tip the broad gauge into the green. Energy producers also weighed in Australia, where equities slumped. Japanese stocks came off their highs of the day, while shares declined in Hong Kong, China and South Korea.

The oil rout has arrived at an already challenging time for global equities, which have been digesting a downturn in the tech sector, the ongoing trade spat between the two biggest economies as well as a higherrate regime. With the Trump administration said to be holding off on imposing new tariffs on automobiles there is ground for some optimism, but Brexit and Italian risks linger, American inflation data is out Wednesday and key reports on the crude market are also imminent.

Futures on the S&P 500 Index dipped 0.4 percent as of 9:39 a.m. London time, hitting the lowest in two weeks with their fifth consecutive decline. The Stoxx Europe 600 Index decreased 0.9 percent to the lowest in more than two weeks. The U.K.’s FTSE 100 Index declined 0.6 percent to the lowest in almost three weeks. Germany’s DAX Index sank 0.8 percent. The MSCI Asia Pacific Index fell 0.2 percent to the lowest in two weeks. The MSCI Emerging Market Index decreased 0.3 percent, reaching the lowest in two weeks on its fifth straight decline.

West Texas Intermediate crude advanced 1.1 percent to $56.28 a barrel, the first advance in almost three weeks and the largest gain in six weeks. Gold fell 0.2 percent to $1,199.64 an ounce, the weakest in five weeks.