European stocks traded lower Wednesday, as the strong U.S. dollar pulled government bond yields higher as investors eased away from the global stock rally in the week following Donald Trump's surprise U.S. election win.
Britain's FTSE 100 fell around 14 points, or 0.2%, by mid-morning in London, with a mixed collection of stocks on either end of the leaderboard. France's CAC 40 briefly extended its post election gains to around 2% before turning negative in the opening hours if trading as bond yields continued to rise in European trading.
The top mover on the session in France early Wednesday is Bouygues (BOUYY) , a building and telecoms conglomerate, with shares rising more than 4.25%, extending a three month gain past 15%, after it reported strong Q3 earnings and revenues of €8.44 billion ($9.3 billion).
Germany's DAX performance index fell 0.4% by 11:15 CET in Frankfurt, dipping around 40 points to 10,706.
The benchmark, which has recorded the strongest gains since last Tuesday's election (2.7%) of the major European bourses, was held down Wednesday by a 4.9% decline in Bayer (BAYRY) shares after the chemical and pharmaceuticals group sold €4 billion ($4.3 billion) worth of convertible notes as part of a capital raising effort linked to its $66 billion purchase of Monsanto.
U.S. 10-year Treasury bond yields, which fell by around 2 basis points to 2.23% in Asia trading, reversed course in the early European session to trade at 2.27% as the dollar added 0.3% against a basket of global currencies to trade at a 52-week high of 100.30.