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LONDON, July 11 (Reuters) - European stocks fell in early trading on Wednesday as an escalation in the U.S.-China trade dispute looked set to bring a six-session winning streak to an end.
The pan-European STOXX 600 index was down 1 percent by 0712 GMT, while Germany's export-heavy DAX fell 1.2 percent and Britain's FTSE declined 1 percent.
The Trump administration raised the stakes in the standoff with Beijing by threatening to impose 10 percent tariffs on a list of $200 billion worth of Chinese imports, a move that hit risky assets globally.
Though investors have been looking positively towards the second-quarter earnings season, the increasingly uncompromising rhetoric on trade has weighed on equities recently.
All European sectors were in negative territory, with those most exposed to action on tariffs took the most points off the STOXX. Basic resources was down 2.6 percent and autos down 1.5 percent.
With the earnings season about to get into gear, trading updates put individual stocks into focus.
Shares in Indivior tumbled almost a third after the drugmaker said its 2018 profit would come in below its forecast, hurt by the launch of generic versions of its bestselling opioid addiction treatment in the United States.
Shares in Burberry were down 4.4 percent after the luxury retailer gave an update on its first quarter.
UK housebuilder Barratt Developments rose more than 2 percent after the company said that it expected profits to have risen 9 percent in 2018.
In M&A news, shares in UK broadcaster Sky retreated 1 percent after Rupert Murdoch's 21st Century Fox said it had agreed a $32.5 billion bid for Sky, trumping a rival offer from U.S. group Comcast.
Reporting by Kit Rees; editing by John Stonestreet