2018.05.1521:10:00UTC+00European Markets Mixed as Data, Earnings in Focus

European markets end mixed on Tuesday as investors monitored key political and economic risks while oil prices hovered close to multi-year highs.

The pan-European Stoxx 600 closed 0.1 percent higher provisionally, with major bourses and sectors pointing in different directions.

Italy's FTSE MIB index climbed 0.3 percent to 24,297.17 as traders continued to watch developments in Italian politics. Germany's DAX 30 dropped 0.1 percent to 12,970.04, while France's CAC 40 was up 0.2 percent at 5,553.16. The U.K.'s FTSE 100 index rose 0.2 percent to 7,722.98.

The indecisive trading action on Tuesday came after a raft of economic data. Eurozone gross domestic product numbers met expectations, while German economic sentiment figures missed forecasts. In the U.K., the unemployment rate remained at a 42-year low.

Italian politics also remained in focus. Last minute hiccups have emerged in the plans by the populist 5 Star Movement and League parties to form a coalition, with the main sticking point appearing to be who to nominate to the role of prime minister.

Europe's oil and gas sector led the gains, rising throughout the afternoon to close up almost one percent. Oil prices themselves recently notched multi-year highs following strong global demand, tension in the Middle East and uncertainty about output from major exporter Iran. OPEC has reported that the global oil glut has virtually been eliminated.

Financial services also performed well, closing up 0.9 percent. British firm Hargreaves Lansdown topped the sector to close up almost 2.5 percent. According to Reuters, the company's total assets grew 3.1 percent in the first quarter of this year on strong client demand.

Europe's banking sector rebounded from slight losses earlier on in the afternoon, closing up 0.3 percent. Raiffeisen Bank, Commerzbank and Credit Agricole reported their latest figures earlier in the day, with all three lenders near the top of the sector amid better-than-expected earnings over the first three months of 2018.

Telecoms stocks led the losses, closing off by over 1.9 percent amid earnings news. French telecommunications firm Iliad slumped to the bottom of the benchmark after it reported earnings that missed expectations. Shares of the company closed 19.5 percent lower, hitting their lowest level since late 2013, after a weak performance in its landline business in the first quarter.