European stocks drifted lower in cautious trade on Wednesday as investors awaited the outcome of a Federal Reserve meeting and guidance on inflation and interest rates.
The Fed is poised to upgrade its forecasts for the U.S. economy, but it would be hard to justify no change in the policy outlook.
The pan European Stoxx 600 slid 0.3 percent to 425.43 after gaining 0.9 percent on Tuesday. The German DAX slipped 0.1 percent, France’s CAC 40 index dipped 0.2 percent and the U.K.’s FTSE 100 was down 0.3 percent.
German carmaker BMW surged 4 percent after it forecast significant year-on-year increase in group profit in 2021.
Volkswagen and Renault jumped nearly 3 percent each even as new data showed Europe’s new car registrations logged another double-digit decline in February.
New car registrations declined 19.3 percent year-on-year in February, but slower than the 24 percent decrease seen in January, the European Automobile Manufacturers’ Association said.
British retail investment platform Hargreaves Lansdown rose over 1 percent. The company said that its profit for the year ending June 30 should be “modestly” above analyst estimates.
Real estate investment trust SEGRO gave up 1.3 percent despite reporting a 62 percent rise in 2020 pretax profit
Capita Plc shares jumped 4.4 percent. The business process outsourcing company announced a major restructuring plan alongside efforts to raise £700m from selling non-core assets.
Market Analysis
European Shares Retreat As Investors Await Fed Guidance
2021-03-17 09:45:58
