European socks little changed
On Tuesday European stocks were little changed as investors assessed valuations before the Federal Reserve’s Wednesday meeting.
The Stoxx Europe 600 Index rose 0.1 percent to 341.57 at 9:58 a.m. in London. The Fed’s policy decision is in focus for indications of the health of the world’s biggest economy and the likely trajectory of interest rates. Economists and investors expect the central bank to keep borrowing costs unchanged. December is the earliest month with at least even odds of a hike.
European equities have oscillated amid mixed economic data and signs that central banks may no longer be willing to unquestioningly increase stimulus measures. The Stoxx 600 has failed to maintain the rally that briefly saw it erase the decline sparked by the U.K.’s surprise vote in June to leave the European Union. It closed Friday at a six-week low, and is currently 1.4 percent below its pre-Brexit level. It trades at about 14.8 times estimated earnings, near its lowest valuation in two months.
Equity benchmarks in Spain, Portugal and Italy posted the biggest declines among western-European markets today, as lenders led losses in the region, with Banca Popolare di Milano Scarl and CaixaBank SA falling at least 2.1 percent.
Asian stocks rose for a third day in light trading as investors waited for policy decisions from the Federal Reserve and the Bank of Japan. The MSCI Asia Pacific Index climbed 0.3 percent to 138.71 as of 4:01 p.m. in Hong Kong, with volumes at 85 percent of the threemonth average. Japan’s Topix index rose 0.4 percent as markets reopened after a holiday on Monday, with the yen strengthening 0.3 percent against the dollar.
A gauge of emerging-market stock volatility was near the highest level since June as traders debated whether the Federal Reserve and Bank of Japan will adjust policy at meetings this week.
This article was compiled by Valletta Fund Management Limited, a member of the BOV Group.Valletta Fund Management,TG Complex, Suite 2, Level 3, Brewery Str., Mriehel BKR 3000 Freephone: 80072344. E-mail: firstname.lastname@example.org. Website: www.vfm.com.mt. Valletta Fund Management Limited is licensed by the MFSA.