(MENAFN) European equity markets ended the day with mixed results on Tuesday as worries grew over "excessively high valuations in the technology sector."

The pan-European Stoxx 600 slipped 0.3%, or 1.7 points, closing at 570.58. Germany’s DAX 40 index dropped 0.76% to 23,949.11, while France’s CAC 40 decreased 0.52% to 8,067.53.

In contrast, the UK’s FTSE 100 edged up 0.14% to finish at 9,714.96, and Italy’s FTSE MIB inched higher by 0.09% to 43,262.35.

European technology shares bore the brunt of the declines, with the Stoxx 600 tech index falling 0.8%.

The automobiles and parts sector dropped 0.43%, and oil and gas stocks also saw a decrease of 0.57%.

Despite optimism last week stemming from indications of easing tensions in the trade dispute between the US and China, European markets retreated on Tuesday as investors opted to "take profits after overvaluing companies" in light of the uncertain economic climate.

Market participants are particularly concerned about "excessively high valuations in the US tech sector," a factor likely to prompt caution among global investors.

Analysts highlight that worries about the US Federal Reserve’s interest rate trajectory are also contributing to this cautious sentiment, with increasing emphasis on potential market corrections, especially in Asian markets.

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