Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Indexes & Markets

News : Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 

European stocks tread water, all eyes on Fed

share with twitter share with LinkedIn share with facebook
06/19/2019 | 12:26pm EDT
The German share price index DAX graph at the stock exchange in Frankfurt

(Reuters) - European stock markets closed little changed on Wednesday in anticipation of the U.S. Federal Reserve policy statement, a day after European Central Bank's dovish calls raised hopes of a more accommodative Fed.

The pan-European index finished up 0.05% with defensive stocks weighing the most, while banks posted a 1.4% rise.

"There is still an element of risk appetite, thanks to the ECB and hopes that the Fed will deliver a rate cut," said Mike van Dulken, Head of Research at Accendo Markets.

"It might not be imminent but the potential for that before the end of the year is enough for markets to keep holding risk further."

ECB chief Mario Draghi flagged a potential return to bond-buying and lower interest rates if the economy does not improve, sending the STOXX 600 index to its best performance in five months on Tuesday.

The U.S. central bank is expected to echo the ECB's easing policy stance at the end of its two-day meeting at 1800 GMT followed by a press conference by Chaiman Jerome Powell.

Expectations of policy easing by the ECB and the Fed has helped the STOXX 600 recoup most of those losses from last month.

Auto stocks were also up 1%, continuing their rally spurred by news that China and the United States are rekindling trade talks ahead of the G20 meeting next week.

The resumption in trade talks after a lull also lifted chipmakers, with Germany's Siltronic recovering nearly 5% after falling sharply on Tuesday.

Corporate newsflow saw CYBG gain 6.2% after the British lender pledged to make an additional £50 million in savings from its takeover of rival Virgin Money.

Meanwhile, Belgian food retailer Colruyt tumbled 15.5%, and was the biggest decliner on the STOXX, after the group warned about a deteriorating economic climate in France and Belgium.

Medical technology supplier Carl Zeiss slid 5.5%, after Bank of America Merrill began coverage of its shares with an "underperform" rating.

Italy's FTMIB was notably higher. Deputy Prime Minister Matteo Salvini said on Tuesday Rome would press ahead with a plan to settle overdue state payments by issuing mini-bills unless a better solution was put forward.

"It would give them (Italy) a short term reprieve and help with some of the overdue payments. Although they still need to sort out their budget deficit and the like, this is at least a short-term solution," van Dulken said.


Graphic: Price performance of Italy's MIB and STOXX 600 -https://tmsnrt.rs/2IprexA

(Reporting Amy Caren Daniel, Medha Singh and Susan Mathew in Bengaluru; Editing by Patrick Graham)

By Medha Singh and Susan Mathew

Stocks mentioned in the article
ChangeLast1st jan.
BANK OF AMERICA CORPORATION 0.64% 23.49 Delayed Quote.-33.30%
BEST INC. -2.90% 3.01 Delayed Quote.-45.86%
CARL ZEISS MEDITEC AG 1.82% 106.2 Delayed Quote.-8.27%
EURO STOXX 50 1.89% 3196.46 Delayed Quote.-16.24%
JUST GROUP PLC 1.85% 43 Delayed Quote.-46.56%
RISE, INC. -3.70% 26 End-of-day quote.-13.33%
SILTRONIC 4.88% 73.56 Delayed Quote.-21.82%
STOXX EUROPE 600 1.75% 361.81 Delayed Quote.-14.51%
WILL GROUP, INC. 3.63% 856 End-of-day quote.-31.63%
share with twitter share with LinkedIn share with facebook
Latest news "Markets"
03:27aEUROPE : European stocks jump after China data, banking rebound
RE
02:58aWALL STREET STOCK EXCHANGE : Sell the day and go away? U.S. stock returns come overnight
RE
09/27Bonds Are Beating Stocks in Topsy-Turvy 2020
DJ
09/25WALL STREET STOCK EXCHANGE : Wall Street ends higher as tech rally squashes virus fears, but S&P down for week
RE
09/25WALL STREET STOCK EXCHANGE : Stocks rise as tech regains favor
RE
09/25WALL STREET STOCK EXCHANGE : U.S. Stocks Rise but S&P 500 Notches Fourth Week of Declines
DJ
09/25WALL STREET STOCK EXCHANGE : U.S. Stocks Rise but S&P 500 Notches Fourth Week of Declines
DJ
09/25WALL STREET STOCK EXCHANGE : U.S. Stocks Point to Fourth Week of Declines
DJ
09/25EUROPE : Virus fears push European stocks to worst week since June
RE
09/25WALL STREET STOCK EXCHANGE : U.S. Stocks Wobble, Pointing to Fourth Week of Declines
DJ
Latest news "Markets"