European indices further declined led by oil & gas stocks as Brent fell to a fresh 5-1/2 year low on a global supply glut. The political turmoil in Greece further weighed on the markets. The country is heading for snap elections in January where the anti-austerity party Syriza, which opposes the bailout, could win according to polls. Furthermore, after the recent rally, a lot of investors are taking profits as the years end nears.

Eurozone's M3 money supply for December rose by +3.1% beating estimates of an increase of +2.6%, Private Loans were in line with expectations at -0.9%.

Investors are looking ahead to the S&P/Case-Shiller Home Price Indices, Consumer Confidence and API Crude Oil Inventories due later in the day. Trading volumes are expected to remain light ahead of the New Year's holiday.

In today's session the FTSE 100 index dropped -0.89% quoted at 6,574.51. France's CAC 40 lost -0.82% trading at 4,282.43. Germany's DAX 30 is currently trading -0.69% at 9,858.40 points.