European Stocks Decline Amid Interest Rate Anticipation
European stocks registered a decline during trading on Tuesday as global markets awaited the U.S. Federal Reserve’s decision regarding interest rates.
The European benchmark index “Stoxx 600” fell by 0.3% to reach 575.21 points, while the German “DAX” index declined by 0.4%, settling at 24,202.63 points.
The French “CAC” index decreased by 0.19% to 8,223.32 points, whereas the British “FTSE 100” index remained stable at 9,658.88 points.
Shares of “Novartis” dropped by 3.3% after the Swiss pharmaceutical giant reported its third-quarter results, where sales in constant currency rose by 7% year-over-year, but net income increased by 25% to $3.9 billion, falling short of analysts’ expectations of $4.4 billion.
The Federal Reserve is expected to reduce interest rates by a quarter of a percentage point in its meeting scheduled for Wednesday, a speculation bolstered by last Friday’s lower-than-expected inflation report.
The European Central Bank is also anticipated to decide later this week to keep interest rates unchanged.
