European stocks expected to open lower after Fed rate decisions, market awaits Bank of England

From Nasdaq: 2024-12-19 00:33:27

European stocks are expected to open lower on Thursday following the Fed and Bank of Japan rate decisions, with investors awaiting the Bank of England’s policy announcement. The Fed cut the key lending rate by 25 basis points but revised its projections to indicate only two interest rate cuts next year. This hawkish outlook boosted U.S. Treasury yields and the dollar. The Bank of Japan kept interest rates unchanged due to economic uncertainties. The Bank of England is likely to maintain interest rates at 4.75% after November’s inflation exceeded the target. Economic data from Germany and France, as well as reports on U.S. jobless claims and GDP, will influence trading. U.S. authorities are considering a ban on China’s TP-Link Technology Co over national security concerns. U.S. stocks fell sharply on Fed uncertainty, with the Dow dropping 2.6% and the S&P 500 and Nasdaq Composite tumbling. European markets closed mostly higher on Wednesday, with the STOXX 600 rising 0.2%.



Read more at Nasdaq: European Shares Set To Drift Lower On Hawkish Tilt By Fed