European Stocks Reverse Early Gains, Close Mixed Amid Rate Uncertainty

European equities erased early gains to close mixed on January 29, 2026, as investor sentiment wavered on renewed uncertainty over ECB rate policy and weak corporate earnings in the industrial sector. The Stoxx Europe 600 ended flat at 512.34, with utilities and healthcare stocks advancing while autos and banks declined. Germany’s DAX fell 0.4%, France’s CAC 40 rose 0.2%, and the UK’s FTSE 100 gained 0.3%. Analysts cited comments from ECB officials hinting at prolonged higher rates as a key headwind. “Markets are struggling to price in a clear path for monetary easing,” said Lena Vogt, chief strategist at Commerzbank Research.