European shares fell on Monday, as investors braced for interest rate decisions in the United States and Europe this week, while the rise in Covid-19 infections in China after the easing of restrictions also influenced the negotiations.
The pan-European STOXX 600 index closed down 0.49% at 436.98 points.
Last week, the index posted its first weekly drop in eight weeks, as fears of an imminent global recession due to aggressive rate hikes by major central banks bucked optimism surrounding the easing of tight Covid-19 restrictions on the China.
The next few days will be a big test for markets, which have been pinning their expectations on a reduction in the pace of interest rate hikes, although the strength of US economic data last week has dampened some of those expectations.
With recent signs of easing inflationary pressures in the euro zone, the European Central Bank is expected to raise interest rates by 0.5 percentage points on December 15, one day after the Fed’s announcement.
The pan-European STOXX 600 index is down nearly 10.4% so far this year amid monetary tightening adopted by the ECB, along with its global peers, after the pandemic and war in Ukraine triggered an energy crisis.
In LONDON, the Financial Times index fell 0.41% to 7,445.97 points.
In FRANKFURT, the DAX index fell 0.45% to 14,306.63 points.
In PARIS, the CAC-40 index lost 0.41% to 6,650.55 points.
In MILAN, the Ftse/Mib index appreciated by 0.11%, at 24,303.68 points.
In MADRID, the Ibex-35 index fell by 0.37% to 8,258.90 points.
In LISBON, the PSI20 index appreciated by 0.32%, to 5,770.36 points.
(Reporting by Amruta Khandekar and Bansari Mayur Kamdar)
Source: CNN Brasil
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