EuropeStay updated with Business News, Pakistan news, Current world news and latest world news with Business Recorder..http://www.brecorder.com/markets/equity/europe.htmlWed, 20 Aug 2014 18:26:04 +0000SRA Framework 2.0en-gbEuropean shares dip as Carlsberg warns on Russia profitshttp://www.brecorder.com/markets/equity/europe/189578-european-shares-dip-as-carlsberg-warns-on-russia-profits.htmlhttp://www.brecorder.com/markets/equity/europe/189578-european-shares-dip-as-carlsberg-warns-on-russia-profits.htmlimageLONDON/PARIS: European shares dipped on Wednesday, ending a two-day rally, with investors rattled by Carlsberg warning that profits would fall this year due to deteriorating conditions in Russia.

Shares in the Danish brewer fell 2.8 percent. It derives 35 percent of its profits from Russia, making it a test case of how European companies will be affected by tit-for-tat sanctions between the West and Russia over the conflict in Ukraine.

Shares in rival Heineken, however, surged 7.8 percent after the brewer posted better-than-expected first-half operating profit, as it sped up cost savings and grew volumes in all regions bar Central and Eastern Europe.

Investors were wary about equities, hit in the last few weeks by fears of an escalation in the Ukrainian crisis which has revealed new vulnerabilities in Europe's stumbling economy.

The violence in Ukraine and sanctions against Russia, a major energy supplier to Europe, have muddied the forecasts of a number of multinationals including Henkel, Adidas and Rheinmetall.

"It (Carlsberg's warning) basically feeds into the narrative that for all the optimism about the recent bounce-back in the markets the same underlying problems remain," CMC Markets chief market analyst Michael Hewson said.

"Central bank accommodation can only get you so far and the likelihood is that the Bank of England and the Fed are looking to end their support for the economy, or start to edge interest rates up," he said.

Bank of England minutes showed two policymakers voted for an interest rate hike in August. Some in the market had expected only one member of the bank's Monetary Policy Committee to do so and the news prompted the market to bring forward expectations for a first UK interest rate rise to five months' time.

The U.S. Federal Reserve is set to release minutes from its July 29-30 policy meeting at 1800 GMT. The minutes may shed further light on how the bank plans to eventually exit from its extraordinary monetary stimulus, and could also show whether there is a growing divide over when to raise interest rates.

At 1116 GMT, the FTSEurofirst 300 index of top European shares was down 0.1 percent at 1,345.16 points, after gaining 1.8 percent in the past two sessions.

The euro zone's blue-chip Euro STOXX 50 index fell 0.3 percent to 3,080.50 points.

"The recent rebound from the June-August drop should help European indexes retrace about 50 percent of the pullback, but beyond that, the upside potential is quite limited. Indexes are stuck in a range," Aurel BGC analyst Gerard Sagnier said.

The FTSEurofirst 300 - which had tumbled 7 percent between late June and early August - has recovered nearly half of the slide, with the index testing the 50 percent Fibonacci retracement level on Wednesday, at 1,348.11 points.

Shares in Luxottica, the world's largest eyewear maker by revenue, shed 2.8 percent on newspaper reports that CEO Andrea Guerra may step down over differences of opinion with founder and chairman Leonardo Del Vecchio. Luxottica declined to comment.

Guerra, widely seen as a driving force behind Luxottica's success in recent years, has been CEO since 2004.

Copyright Reuters, 2014

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imad_kueconomist@yahoo.com (Imaduddin)EuropeWed, 20 Aug 2014 15:29:24 +0000
Stocks halts rally, BoE minutes stun marketshttp://www.brecorder.com/markets/equity/europe/189575-stocks-halts-rally-boe-minutes-stun-markets.htmlhttp://www.brecorder.com/markets/equity/europe/189575-stocks-halts-rally-boe-minutes-stun-markets.htmlimageLONDON: World stocks fell on Wednesday as investors braced for the possibility that a major central bank could raise interest rates this year after Bank of England minutes showed two of the bank's nine rate-setters voted for a hike earlier this month.

Sterling and UK bond yields also rose after the unexpected shift closer to higher British rates, while record-low euro zone money market rates pushed the euro to its weakest against the dollar in a year.

As central bank policy signals and relative interest rates eclipsed geopolitical developments, investors were also braced for the release later Wednesday of minutes from the last Federal Reserve policy meeting.

The Fed minutes come ahead of Fed Chair Janet Yellen's keenly-anticipated address to the annual gathering of policymakers in Jackson Hole, Wyoming, on Friday.

"A split vote shows that the first rate hike is approaching," said Philippe Gudin, an economist at Barclays, referring to the BoE.

"We expect the support for a rate increase to grow in the coming months and we foresee the first hike taking place before year end," he said.

At midsession, Britain's FTSE was down half of one percent at 6,748 points, Germany's DAX was off a similar amount at 9,293 points and France's CAC was down a third of one percent at 4,238 points.

Two of the biggest stock market movers in Europe were brewers. Shares in Denmark's Carlsberg sank as much as 6 percent after the company said deteriorating conditions in Russia would hit overall profit this year. Dutch brewer Heineken jumped as much as 6 percent after first-half profit rose.

Stocks had been underpinned this week as attention shifted away from the Ukraine-Russia conflict, and by strong US housing data and lower-than-expected UK inflation figures.

The MSCI index of world stocks slipped 0.1 percent to 428 points, and US futures pointed to losses of around 0.1 percent at the open.

BOE, ECB DIVERGENCE

Sterling rose 0.2 percent to $1.6650, rebounding from a five-month low earlier this week around $1.66, and Britain's 10-year gilt yield rose 3 basis points to 2.43 percent .

Elsewhere in currencies, the dollar surged to a near one-year high against a basket of major counterparts. It hit 103.26 yen, its highest since early April, after Japan

reported a larger-than-forecast trade deficit in July.

The euro slumped below $1.33 for the first time in 11 months after German producer prices fell more than expected in July, fuelling concerns that deflationary forces are spreading to the core of the 18-nation bloc.

"This is a combination of expectations of very low rates for a very long period of time, but also a reflection that the market has raised the odds of the European Central Bank being drawn into taking more serious action," said Elwin de Groot, a senior market economist at Rabobank in Utrecht, The Netherlands.

Overnight interbank lending rates in the euro zone are coming ever closer to zero. Eonia rates are now just 0.005 percent

Key US and euro zone government bond yields were little changed. The 10-year German government bond yield hovered just below 1 percent, the 2-year German yield was steady just below 0 percent after an auction and the 10-year US yield was flat at 2.40 percent.

The 10-year Treasury yield had risen for the last three days, rebounding from a 14-month low of 2.30 percent last week.

In commodities, gold was stuck below $1,300 an ounce XAU= after shedding 1.3 percent in the last three sessions.

Brent crude futures recovered from near 14-month lows, ticking up a third of one percent to $101.95 a barrel, although ample supplies are putting prices at risk of renewed losses.

Copyright Reuters, 2014

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imad_kueconomist@yahoo.com (Imaduddin)EuropeWed, 20 Aug 2014 15:25:12 +0000
European stock markets drop, banks in focushttp://www.brecorder.com/markets/equity/europe/189559-european-stock-markets-drop-banks-in-focus.htmlhttp://www.brecorder.com/markets/equity/europe/189559-european-stock-markets-drop-banks-in-focus.htmlimageLONDON: European stock markets retreated on Wednesday after two days of strong gains, while the euro briefly hit a one-year low against the dollar as markets focused on central bank action.

By mid-afternoon, London's benchmark FTSE 100 index was down 0.49 percent to 6,746.24 points.

Frankfurt's DAX 30 dropped 0.75 percent to 9,264.11 points and in Paris the CAC 40 index lost 0.72 percent to 4,223.88 compared with Tuesday's close, as traders banked recent profits.

Five minutes into trading, the Dow Jones Industrial Average dropped 14.70 points (0.09 percent) to 16,904.89.

The broad-based S&P 500 lost 2.46 (0.12 percent) at 1,979.14 while the tech-rich Nasdaq Composite declined 6.40 (0.14 percent) to 4,521.12.

Europe's main indices had finished higher on Tuesday, extending the previous day's surge as easing fears about the Ukraine crisis fuelled investor optimism ahead of a speech by the head of the US Federal Reserve.

On Wednesday, the euro dropped to $1.3285 in early London trading hours -- the lowest point since September last year, and then recovered slightly to $1.3289. This compared with $1.3321 late on Tuesday in New York.

"The US dollar is continuing to derive support from the ongoing outperformance of the US economy in the near-term which appears to be strengthening while growth in most other major economies is losing momentum," said Lee Hardman, currency analyst at Bank of Tokyo-Mitsubishi UFJ.

Slow growth, low interest rates and tepid inflation on both sides of the Atlantic will be in focus when heads of the US and European central banks meet in Jackson Hole, Wyoming.

All eyes will focus on Janet Yellen, the Federal Reserve chair, and Mario Draghi, her counterpart at the European Central Bank, with observers looking and listening for signs of what they plan for interest rates.

Yellen is facing calls to begin raising interest rates soon after US measures aimed at stimulating the world's biggest economy are wound up in October.

On foreign exchange markets, the euro fell to 79.84 pence from 80.15 pence on Tuesday, while the pound rose to $1.6642 from $1.6617.

The pound advanced on increased prospects of a rise to British interest rates before the end of this year, traders said.

This comes as the Bank of England stands divided on whether to maintain record-low interest rates. Minutes of the BoE's last meeting revealed on Wednesday a first split among policymakers for more than three years.

The 7-2 vote in favour of keeping the BoE's main lending rate at 0.50 percent at its August policy meeting was the first non-unanimous decision on borrowing costs since July 2011.

The split was significant because two members of the policy committee voted for the key rate to be increased.

Markets are watching to see when the Bank of England will embark on a round of interest rate rises as Britain's economic recovery outpaces the neighbouring eurozone.

The split "opens the door to the possibility of an interest rate increase being squeezed in before the end of the year, but with the weaker-than-expected (British) inflation figures posted yesterday this is far from a foregone conclusion," said Alastair McCaig, market analyst at IG trading group.

The price of gold dropped to $1,294.50 an ounce from $1,296.50 Tuesday on the London Bullion Market.

On the corporate front, shares in bank Standard Chartered rose 0.08 percent to 1,218.50 pence. New York state's banking regulator on Tuesday hit Standard Chartered with a $300 million fine and restrictions on its dollar-clearing business for failing to detect possible money-laundering.

The new punishment came two years after the bank paid US regulators $667 million to settle charges it violated US sanctions by handling thousands of money transactions involving Iran, Myanmar, Libya and Sudan.

"Evidently the $300-million price is seen as something of a bargain by investors in the stock," said Tony Cross, market analyst at traders Trustnet Direct.

Copyright AFP (Agence France-Presse), 2014

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imad_kueconomist@yahoo.com (Imaduddin)EuropeWed, 20 Aug 2014 14:04:34 +0000
FTSE retreats from 3-week high, ‘ex-div’ firms weighhttp://www.brecorder.com/markets/equity/europe/189524-ftse-retreats-from-3-week-high-‘ex-div’-firms-weigh.htmlhttp://www.brecorder.com/markets/equity/europe/189524-ftse-retreats-from-3-week-high-‘ex-div’-firms-weigh.htmlimageLONDON: Britain's blue-chip share index fell from a three-week high on Wednesday, halting a five-day winning run, with companies trading without the attraction of their latest dividend putting pressure on the broader market.

The effect of several major companies, including HSBC , Mondi and British American Tobacco, going "ex-dividend" took about 11 points off the FTSE 100 index . Their shares fell 0.9 to 2.2 percent.

The benchmark index was down 0.4 percent, or 27.42 points, at 6,751.89 points by 1049 GMT after gaining for five days in a row and climbing to its highest since late July a day earlier.

The FTSE 100 hit a peak of 6,894.88 points in mid-May, which marked its highest level since December 1999, but has since given up much of that ground.

Investors are concerns that a likely increase in interest rates in Britain would negatively impact businesses and squeeze consumer spending, analysts said.

The minutes from the Aug. 6-7 meeting of the Bank of England's nine-member Monetary Policy Committee, released on Wednesday, showed policymakers had broken ranks over rates for the first time in three years, with two of them unexpectedly voting to tighten policy.

"It muddies the waters considerably. If it said one member had voted for a rate hike, then we would have got away with it. But now you have got two and it does send a powerful signal," Peter Dixon, equity strategist at Commerzbank, said.

"But the BOE is aware of the fact that domestic demand would be vulnerable in the event of quick rate hikes. It argues for a fairly slow pace of tightening."

Hantec Markets analyst Richard Perry said he would look to see if the FTSE 100 could get back up to the 6,834 point level, which would indicate the market's recent rebound had more strength left in it.

"If the FTSE falls over again around these levels, it would just perpetuate the drift lower that we've seen in the last two months," he said.

On the positive side, Standard Chartered rose 0.4 percent after saying late on Tuesday that it would pay a $300 million penalty and suspend or exit some important businesses after failing to weed out risky transactions that could be linked to money laundering.

Traders said the gains in the bank's share price reflected an element of relief that the penalty was now out of the way, after media reports about it had circulated beforehand. The bank's underlying business remained in good shape, they said.

"They've got more than enough capital to cover the fine," said Beaufort Securities sales trader Basil Petrides.

Copyright Reuters, 2014

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imad_kueconomist@yahoo.com (Imaduddin)EuropeWed, 20 Aug 2014 11:56:50 +0000
European shares dip; Carlsberg hit by Russia concernshttp://www.brecorder.com/markets/equity/europe/189502-european-shares-dip;-carlsberg-hit-by-russia-concerns.htmlhttp://www.brecorder.com/markets/equity/europe/189502-european-shares-dip;-carlsberg-hit-by-russia-concerns.htmlimagePARIS: European shares dipped in early trade on Wednesday, ending a sharp two-day rally, with investors rattled after Carlsberg issued a profit warning, blaming deteriorating conditions in Russia.

Shares in the Danish brewer plunged 5.8 percent after the warning.

It derives 35 percent of its profits from Russia, making it a test case of how European companies will be affected by tensions between the West and Russia over the conflict in Ukraine and the impact of sanctions on the Russian economy.

Shares in rival Heineken, however, surged 6.8 percent after the brewer posted better-than-expected first-half operating profit, as it sped up cost savings and grew volumes in all regions except for Central and Eastern Europe.

Fighting in Ukraine and sanctions against Russia, a major energy supplier to Europe, have muddied the forecasts of a number of multinationals including Henkel, Adidas and Rheinmetall.

At 0730 GMT, the FTSEurofirst 300 index of top European shares was flat, at 1,347.05 points after gaining 1.8 percent in the past two sessions, while the UK's FTSE 100 index , Germany's DAX index and France's CAC were all down 0.1 percent.

The euro zone's blue-chip Euro STOXX 50 index was down 0.1 percent at 3,087.89 points.

"The recent rebound from the June-August drop should help European indexes retrace about 50 percent of the pullback, but beyond that, the upside potential is quite limited. Indexes are stuck in a range," Aurel BGC analyst Gerard Sagnier said.

The FTSEurofirst 300 - which had tumbled 7 percent between late June and early August - has recovered nearly half of the slide, with the index testing the 50 percent Fibonacci retracement level on Wednesday, at 1,348.11 points.

Germany's DAX index, one of the European markets hardest hit by worries over turmoil in Ukraine, tested on Wednesday the 38.2 percent Fibonacci retracement of its June-August slide, a key resistance level, before retreating. Investors were also cautious ahead of the US Federal Reserve's minutes of its July policy meeting which could give insight on the outlook for interest rates.

The Fed is set to releases the minutes from its July 29-30 policy meeting at 1800 GMT.

The minutes could shed further light on how the central bank plans to eventually exit from its extraordinary monetary stimulus, and could also show whether there is a growing divide between 'hawks' and 'doves' over when to raise interest rates.

Shares in Luxottica, the world's largest eyewear maker by revenue, tumbled 7 percent after newspaper reports the group's CEO Andrea Guerra could be stepping down after differences of opinion with founder and chairman Leonardo Del Vecchio. Luxottica declined to comment.

Guerra, widely seen as a driving force behind Luxottica's success in recent years, has been CEO of the company since 2004.

Copyright Reuters, 2014

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s.rs96@yahoo.com (Shoaib-ur-Rehman Siddiqui)EuropeWed, 20 Aug 2014 09:54:49 +0000
Britain's FTSE halts five-day winning streakhttp://www.brecorder.com/markets/equity/europe/189496-britains-ftse-halts-five-day-winning-streak.htmlhttp://www.brecorder.com/markets/equity/europe/189496-britains-ftse-halts-five-day-winning-streak.htmlimageLONDON: British shares fell on Wednesday, halting a five-day winning run as a fall in major mining shares pushed the FTSE index off a three-week high.

The blue-chip FTSE 100 index was down by 0.3 percent, or 17.54 points, at 6,761.77 points in early trade.

The FTSE 350 Mining Index slipped 0.1 percent, as a fall in the prices of iron ore and steel in China - the world's biggest metals consumer - pegged back mining stocks.

However, mining and commodities group Glencore outperformed to rise 0.5 percent after the company announced a share buyback programme of up to $1 billion as it posted a forecast-beating 8 percent rise in first-half core profit.

Banking group Standard Chartered also outperformed with a 0.7 percent advance.

Standard Chartered said late on Tuesday, after European stock markets had closed, that it would pay a $300 million penalty and suspend or exit some important businesses after failing to weed out risky transactions that could be linked to money laundering.

Traders said the gains in the bank's share price reflected an element of relief that the penalty was now out of the way, after media reports about it had circulated beforehand. Standard Chartered's underlying business remained in good shape, they said. "They've got more than enough capital to cover the fine," said Beaufort Securities sales trader Basil Petrides.

EX-DIVIDENDS

The effect of several major companies, including bank HSBC and British American Tobacco, going "ex-dividend" - namely having their shares trade without the attraction of their latest dividend - also took some 11 points off the FTSE 100 index.

The index hit a peak of 6,894.88 points in mid-May, which marked its highest level since December 1999, but has since given up much of that ground.

Hantec Markets analyst Richard Perry said he would look to see if the FTSE could get back up to the 6,834 point level, which would indicate the market's recent rebound had more strength left in it.

"If the FTSE falls over again around these levels, it would just perpetuate the drift lower that we've seen in the last two months," he said.

Copyright Reuters, 2014

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s.rs96@yahoo.com (Shoaib-ur-Rehman Siddiqui)EuropeWed, 20 Aug 2014 09:45:02 +0000
Russian shares end 8-day rally, rouble extends losses vs dollar http://www.brecorder.com/markets/equity/europe/189490-russian-shares-end-8-day-rally-rouble-extends-losses-vs-dollar.htmlhttp://www.brecorder.com/markets/equity/europe/189490-russian-shares-end-8-day-rally-rouble-extends-losses-vs-dollar.htmlimageMOSCOW: Russian shares moved lower on Wednesday, breaking an eight-day rally, and the rouble extended losses against the dollar, which strengthened ahead of US Federal Reserve minutes.

At 0840 GMT, the dollar-denominated RTS index was down 0.5 percent at 1,249 points, while the rouble-based MICEX was down 0.3 percent at 1,432 points.

Analysts said that, despite tentative signs of diplomatic progress, political risk linked to Ukraine remain the main factor weighing on the market.

MICEX has risen by some 10 percent over the last two weeks, but it remains 7 percent below its recent peak in early July, hit before the downing of a Malaysian airliner over eastern Ukraine which led to stiffer western sanctions against Russia.

Ukraine's President Petro Poroshenko and Russian President Vladimir Putin will meet in Minsk next week to discuss the confrontation, the latest of several diplomatic overtures to resolve the conflict.

But intense fighting is continuing in eastern Ukraine and there is no sign yet of a diplomatic breakthrough, suggesting markets will remain vulnerable.

"The chances that in the near future aircraft will stop falling in eastern Ukraine and refugee columns will stop being shelled by the opposing forces are minimal.

Therefore our market will 'wobble'," Zerich Capital analyst Andrei Bernikov said in a note.

Russia's market also lost steam along with other global markets, because investors worldwide are awaiting monthly minutes from the US Federal Reserve that may provide pointers to its future intentions. Strong US housing data on Tuesday has increased the likelihood that the Fed may raise interest rates sooner than expected, a factor that has pushed the dollar to a 9-month high.

The rouble was 0.13 percent weaker against the dollar at 36.23, but virtually steady versus the euro at 48.17, and against the dollar-euro basket at 41.61.

The rouble has been weakening over recent days despite the start of the monthly tax period that normally supports it as exporters convert hard currency earnings to pay taxes.

"Exporters are not hurrying to sell their hard currency earnings, despite the tax period," said Otkritie trader Petr Neimyshev.

"The standard factor, which under normal circumstances has a significant influence, is now being negated by geopolitics." Analysts said that the rouble's recent weakness also reflects falling oil prices, as well as central bank moves to reduce support for the currency as it moves towards a free float.

Copyright Reuters, 2014

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s.rs96@yahoo.com (Shoaib-ur-Rehman Siddiqui)EuropeWed, 20 Aug 2014 09:28:49 +0000
Stocks halt rally, BoE jolts UK marketshttp://www.brecorder.com/markets/equity/europe/189489-stocks-halt-rally-boe-jolts-uk-markets.htmlhttp://www.brecorder.com/markets/equity/europe/189489-stocks-halt-rally-boe-jolts-uk-markets.htmlimageLONDON: World stocks mostly halted their recent rally on Wednesday before the latest policy signal from the US central bank, while UK stocks and bonds fell after Bank of England minutes showed two rate-setters voted to raise interest rates earlier this month.

Sterling jumped after the BoE minutes showed two of the nine policymakers unexpectedly voted to raise rates, while record-low money-market rates in the euro zone took the euro to its weakest against the dollar in almost a year.

Stocks had risen this week after strong US housing data and lower-than-expected UK inflation figures, which suggested economic activity was rising but not fast enough to force interest rates higher any time soon. The BoE minutes prompted some to reassess, though.

"The voting has surely caught the market by surprise, given that the (latest) inflation number was so low, but now we know that we have two hawkish members in the committee," said Naem Aslam, chief market analyst at Avatrade. "This has lowered the bar for an increase in interest rates this year."

Later in the day, minutes from the last Federal Reserve policy meeting will be released. On Friday, Fed Chair Janet Yellen will address an annual gathering of policymakers in Jackson Hole, Wyoming, on Friday.

Riskier assets had been underpinned by a shift in attention away from the Ukraine-Russia conflict, but investors used the relatively calm economic and political backdrop to take some money out of the market.

The MSCI index of world stocks slipped 0.1 percent to 428 points, the major European bourses fell by up to 0.2 percent and US futures pointed to losses of around 0.2 percent at the open.

Britain's FTSE was down a third of one percent at 6760 points, Germany's DAX was off a similar amount at 9300 points and France's CAX was down 0.4 percent at 4236 points.

Shares in Denmark's Carlsberg sank almost 6 percent after the company said deteriorating conditions in Russia would hit overall profit this year. Dutch brewer Heineken jumped 6 percent after first-half profit rose.

Earlier in Asia, the MSCI's broadest index of Asia-Pacific shares outside Japan inched up 0.1 percent, while Tokyo's Nikkei ended the day flat.

Japan reported a wider-than-expected trade deficit in July of 964 billion yen, pushing the dollar as high as 103.26 yen , its highest since early April.

Sterling rose 0.25 percent to $1.6650, rebounding from a five-month low earlier this week around $1.66, and

Britain's 10-year gilt yield rose 3 basis points to 2.43 percent .

The euro remained under pressure, in part from the decline of overnight interbank lending rates in the euro zone, which are coming ever closer to zero. Eonia rates are now just 0.005 percent.

The euro fell below $1.33 for the first time in 11 months after German producer prices fell more than expected in July, fuelling concerns that deflationary forces are spreading to the core of the 18-nation bloc.

"This is a combination of expectations of very low rates for a very long period of time, but also a reflection that the market has raised the odds of the European Central Bank being drawn into taking more serious action," said Elwin de Groot, a senior market economist at Rabobank in Utrecht, The Netherlands.

Key US and euro zone government bond yields were little changed. The 10-year German government bond yield hovered just below 1 percent, the 2-year German yield was down slightly before an auction later in the day and the benchmark 10-year US yield was flat at 2.40 percent.

The 10-year Treasury yield had risen for the last three days, rebounding from a 14-month low of 2.30 percent last week.

In commodities, gold was stuck below $1,300 an ounce after shedding 1.3 percent in the last three sessions.

Brent crude futures recovered from near 14-month lows, ticking up a quarter of one percent to $101.80 a barrel, although ample supplies are putting prices at risk of renewed losses.

Copyright Reuters, 2014

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s.rs96@yahoo.com (Shoaib-ur-Rehman Siddiqui)EuropeWed, 20 Aug 2014 09:28:16 +0000
European stock markets ease at open http://www.brecorder.com/markets/equity/europe/189463-european-stock-markets-ease-at-open.htmlhttp://www.brecorder.com/markets/equity/europe/189463-european-stock-markets-ease-at-open.htmlimageLONDON: Europe's main stock markets dipped at the start of trading on Wednesday after two days of strong gains.

London's benchmark FTSE 100 index fell 0.12 percent to 6,771.01 points at the open and Frankfurt's DAX 30 edged down 0.05 percent to 9,329.89.

The CAC 40 index in Paris lost 0.10 percent to 4,250.28 points compared with Tuesday's close.

European indices had closed higher on Tuesday, extending the previous day's surge as easing fears about the Ukraine crisis fuelled investor optimism ahead of a speech by the head of the US central bank this week.

Traders were looking ahead to an address on Friday by Federal Reserve chief Janet Yellen for any hint of a change to the bank's interest rate plans.

Last month, Yellen said that the Fed would hold its near-zero interest rate policy until the US economy strengthened, but may raise rates if the jobs market continued to improve.

Copyright AFP (Agence France-Presse), 2014

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parvezjabri@yahoo.com (Parvez Jabri)EuropeWed, 20 Aug 2014 07:44:29 +0000
Russian shares open mixed, rouble extends losses vs dollar http://www.brecorder.com/markets/equity/europe/189425-russian-shares-open-mixed-rouble-extends-losses-vs-dollar.htmlhttp://www.brecorder.com/markets/equity/europe/189425-russian-shares-open-mixed-rouble-extends-losses-vs-dollar.htmlimageMOSCOW: Russian shares opened mixed on Wednesday, leaving two main stock indexes little changed after eight straight sessions of gains, while the rouble continued to lose value against the dollar.

At 0615 GMT, the dollar-denominated RTS index was down 0.1 percent at 1,249 points, while the rouble-based MICEX traded less than 0.1 percent higher at 1,437 points.

Many of Russia's most liquid stocks, including top lender Sberbank, were broadly flat on MICEX, where Sberbank was down 0.04 percent.

The rouble was 0.16 percent weaker against the dollar at 36.24 and lost 0.08 percent versus the euro, trading at 48.23.

That left the currency 0.09 percent weaker at 41.63 against the dollar-euro basket the central bank uses to gauge the rouble's nominal exchange rate.

Copyright Reuters, 2014

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s.rs96@yahoo.com (Shoaib-ur-Rehman Siddiqui)EuropeWed, 20 Aug 2014 06:21:38 +0000