European stock markets mid session: stocks traded lower on the further yuan devaluation

Stock indices traded lower on the further yuan devaluation. China's central bank set Wednesday's daily fixing at 6.3306 per U.S. dollar, down from 6.3231 on Tuesday.

The central bank said on Tuesday that it was a "one-off depreciation".

"Looking at the international and domestic economic situation, currently there is no basis for a sustained depreciation trend for the yuan," the central bank said on Wednesday.

A weaker yuan should help to boost the activity in the manufacturing sector and exports, which dropped 8.3% year-on-year in July.

Meanwhile, the economic data from the Eurozone was weaker than expected. Industrial production in the Eurozone fell 0.4% in June, missing expectations for a 0.2% decline, after a 0.4% drop in May.

The decrease was driven by a drop in durable consumer goods and capital output. Durable consumer goods were down 2.0% in June, while capital goods output slid by 1.8%.

On a yearly basis, Eurozone's industrial production gained 1.2% in June, missing expectations for a 1.5% rise, after a 1.6% increase in May.

The increase was driven by a rise in non-durable consumer goods, capital goods and intermediate goods. Non-durable consumer goods climbed by 2.2% in June from a year ago, capital goods rose by 1.7%, while intermediate goods output gained by 0.2%.

Current figures:

Name Price Change Change %

FTSE 100 6,575.75 -88.79 -1.33 %

DAX 11,042.69 -250.96 -2.22 %

CAC 40 4,963.65 -135.38 -2.66 %