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Europe: Stocks dip at open

Tuesday, October 27, 2015 - 16:40
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Europe's major stock markets fell further Tuesday in cautious deals as investors awaited the start of a US Federal Reserve meeting.

[LONDON] Europe's major stock markets fell further Tuesday in cautious deals as investors awaited the start of a US Federal Reserve meeting.

London's benchmark FTSE 100 index of major blue-chip companies dropped 0.17 percent to stand at 6,405.89 points.

In the eurozone, Frankfurt's DAX 30 shed 0.37 percent compared with Monday's close to 10,761.37 points and the Paris CAC 40 lost 0.25 percent to stand at 4,885.09.

"The neutral open comes as markets adopt the now traditional 'wait-and-see' attitude in the run up to the Fed's policy update tomorrow (and the Bank of Japan on Friday) with easy monetary policy still desired to buoy risk appetite," said Accendo Markets analyst Mike van Dulken.

The US central bank's two-day gathering, which concludes on Wednesday, comes amid more signs of lethargy in the world economy.

Traders are hoping for more guidance on its timetable for hiking interest rates, with speculation brewing that it will delay any move until next year owing to recent turmoil on global markets and weakness in China.

The Fed is expected to again delay raising borrowing costs and leave its key rate near zero, where it has stood since December 2008 to stimulate economic growth.

AFP