European markets end mixed, with Russia-Ukraine tensions persisting; Ericsson experiences 14% decline.

• The Stoxx 600 index in Europe finished 0.05% higher, but most sectors moved in opposite directions.
• While telecoms stocks declined 1.2%, oil and gas stocks rose 1.5%.
• Investors are monitoring developments in Ukraine as well as corporate earnings.

European markets were mixed on Wednesday as investors evaluated the geopolitical situation after Russia's claimed partial withdrawal from the Ukrainian border, while corporate earnings season continued.

The European stock market index rose by 0.05% provisionally, with most sectors moving in opposite directions. Oil and gas stocks led the gains, increasing by 1.5%, while telecoms stocks decreased by 1.2%.

If Western countries impose sanctions on Russia, energy prices in Europe may rise, as stated by U.S. President Joe Biden on Tuesday, who indicated that the sanctions package would involve decreasing European reliance on Russian gas.

Boris Johnson announced on Wednesday that the U.K. would impose sanctions on Russian banks and companies if Russia became more aggressive towards Ukraine.

If Britain imposed any sanctions, Moscow would respond with retaliation, stated Russian Foreign Minister Sergey Lavrov.

On Tuesday, markets worldwide experienced a rally after Russia announced that it was returning some troops to deployment bases following training exercises near the Ukrainian border, alleviating concerns of an imminent invasion and increasing expectations of a de-escalation of recent tensions with the West.

Russia has been accused by NATO of increasing the number of troops at the Ukrainian border, while Western officials and Ukrainian President Volodymyr Zelenskyy have urged caution in accepting Russia's claims.

On Wednesday, the Nasdaq Composite dropped more than 1% on Wall Street, while investors closely watched earnings and economic data in the U.S. markets.

On Wednesday, earnings were reported by companies such as , , , , and , which continue to influence individual share prices in Europe.

On Wednesday, shares of the Swedish tobacco company increased by 3.8% after the company announced record full-year sales and operating profit with double-digit growth in both revenues and earnings.

The Belgian chemicals and metals recycling company's shares gained 5% after posting an 81% increase in earnings for 2021 and providing optimistic guidance for 2022.

The Swedish IVF company at the bottom of the European blue chip index dropped by almost 17% following a decline in fourth-quarter net income.

The Swedish telecoms giant's shares were trading 14% lower after an internal investigation found serious compliance breaches at its business in Iraq.

In January, the annual U.K. inflation rate was 5.5%, slightly higher than predicted and still at a 30-year high.