Equities ended lower on Wednesday amid renewed QE tapering concerns

Wednesday, December 11, 2013

European equity markets ended lower on Wednesday, tracking losses in Wall Street as investors remain concerned about a possible end of the US stimulus programme at the upcoming FOMC committee meeting next week. CAC, DAX, IBEX and London ended lower between 0.15% and 0.84%, while Dow Jones has slipped by more than 70 points, at the time of writing. 

Mining stocks and banks dragged the London market lower today due to limited risk appetite. Randgold, Anglo American and Rio Tinto retreated between 1.3% and 2.17%. In financials, RBS and Barclays slid lower by 2.9% and 1.5%, respectively.

In other corporate news, Royal Mail is expected to take its place in the FTSE 100 Index.

The US dollar continues its strong downside momentum to reach a 6-week low as the USD index has been trading below 80.0 area. On the other side, the euro holds strong eyeing the 1.38 level following the recent strong economic data.

Tomorrow, it is a busy day in the US economic front with the main focus switching to the release of the weekly US jobless claims as well as import/export prices and retail sales figures for November. In addition, the Eurozone’s industrial production data will draw investors’ attention, giving further momentum to the euro.

However, all eyes remain on the FOMC meeting next week, which could signal the future of the US stimulus programme. 

Topics: USD, DAX, FTSE100, CAC, EUR
More from: Myrto Sokou