(MENAFN- Gulf Times) Europe's stock markets finished slightly higher yesterday following earlier sluggishness and a downbeat session in Asia, as investors looked ahead to the European Central Bank's interest rate meeting.
London's benchmark FTSE 100 index of top companies inched up 0.44% to 6,919.24 points at the end of trading.
Frankfurt's DAX 30 rose 0.98% to close at 11,390.83 points, while the CAC 40 index in Paris climbed 0.99% to 4,917.35 points from Tuesday's close.
European indices had fallen on Tuesday after recent strong gains, with traders sitting tight as the eurozone awaits new central bank stimulus.
Today, the ECB President Mario Draghi will unveil details of the bond purchase programme the bank is embarking on later this month.
"After a nightmare morning, the eurozone indices were in marginally better health this afternoon, as they looked ahead to tomorrow's momentous ECB conference," said Spreadex analyst Connor Campbell.
"Draghi and Co will reveal the full extent of the European Central Bank's quantitative easing plan, with the markets likely to benefit from this latest clarification," he said, noting the Bank of England is also set to meet today, and expected to maintain its rock-bottom 0.5% interest rate.
Berenberg analyst Christian Schulz said renewed signs the ECB remains ready to follow through on its stimulus programme continues to reassure markets.
"The expectation that the ECB would start buying large quantities of government bonds has lowered borrowing costs, stabilised inflation expectations and weakened the euro exchange rate," Schulz wrote in an analysis titled "Make Your Own Luck."
"It has also contained any potential spill-over of the Greek risks to other eurozone countries, effectively weakening the Greek double-populist coalition's negotiating position."
Meanwhile, the euro hit a five-week low of $1.1073 compared with $1.1178 late in New York.
On Wall Street, US stocks dipped for a second day after the run that saw new Dow and S&P records, and a 15-year high for the Nasdaq on Monday.
In late morning trading the Dow Jones Industrial Average was down 0.54%, to 18,203.37 points.
The broad-based S&P 500 fell 0.45% to 2,107.78, while the tech-rich Nasdaq Composite dropped 0.27% to 4,966.58.
Dull US data on hiring and auto sales in February-though severe weather could have contributed-underscored the feeling of caution in the market going forward, analysts said.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.