LONDON: European stock markets slid further at the open Thursday as traders reacted to a credit downgrade for the United States and awaited the Bank of England’s latest interest-rate decision.
London’s benchmark FTSE 100 index dropped 0.8 percent to 7,500.79 points.
In the eurozone, Frankfurt’s DAX index retreated 1.0 percent to 15,863.02 points and the Paris CAC 40 shed 0.8 percent to 7,257.90.
Asian indices also tumbled for a second day running following a slide Wednesday on Wall Street after Fitch stripped the US of its top credit rating, citing a growing federal debt burden and an “erosion of governance”.
Surprise US debt downgrade knocks European stocks to two-week lows
Focus Thursday was also on the Bank of England, expected to raise its key interest rate by at least a quarter-point to 5.25 percent as inflation stays high in the UK.
That would be the BoE’s 14th hike in a row and highest borrowing cost for more than 15 years.
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