LONDON: European stock markets dipped Thursday, erasing early gains won following advances across Asia and on Wall Street as the Federal Reserve dampened expectations of further rises to US interest rates.
Around 1000 GMT, London's benchmark FTSE 100 index was down 0.1 percent compared with Wednesday's close.
In the eurozone, Frankfurt's DAX 30 shed 0.3 percent and the Paris CAC 40 lost 0.4 percent.
"Following a perky start the European indices have begun to tick back this Thursday, with a similarly negative showing from the US markets on the card," said analyst Connor Campbell at Spreadex trading group.
"Whilst an April (US) rate rise seems firmly off the table, the fact that there appears to be a slight increase in the number of hawks in the central bank may have spooked investors."
Federal Reserve policymakers were broadly worried about the threat of slower global growth to the US economy, the minutes from their March 15-16 meeting showed Wednesday.
As they decided against an interest rate hike at that meeting, several also cautioned against an increase in April, saying it would signal a sense of urgency over US monetary conditions that "they did not think appropriate," the minutes said.
Amid the uncertain outlook, the euro dropped against the dollar in trading on Thursday, while the US currency struggled further versus the yen -- which is considered a safe bet in times of economic turmoil.
The prospect of US borrowing costs staying unchanged until at least June saw the dollar sitting at 17-month lows against the yen and also struggling against emerging market currencies.
"The dominant force in the Fed's policy making is volatility and global risks against the domestic risks of inflation and employment," said London Capital Group head analyst Brenda Kelly.
"In this context, the market gives nearly no probability for an April action from the Fed and thus the market now looks to sell the greenback for now."
- Key figures around 1000 GMT -
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London - FTSE 100: DOWN 0.1 percent at 6,158.81
Frankfurt - DAX 30: DOWN 0.3 percent at 9,596.70
Paris - CAC 40: DOWN 0.4 percent at 4,267.09
EURO STOXX 50: DOWN 0.7 percent at 2,890.23
Tokyo - Nikkei 225: UP 0.2 percent at 15,749.84 (close)
Shanghai - Composite: DOWN 1.4 percent at 3,008.42 (close)
Hong Kong - Hang Seng: UP 0.3 percent at 20,266.05 (close)
New York - Dow: UP 0.6 percent at 17,716.05 (close)
Euro/dollar: DOWN at $1.1376 from $1.1398 on Wednesday
Dollar/yen: DOWN at 108.42 yen from 109.76 yen
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