European Stocks Lower as Global Markets Focus on US Vote Count
European stocks fell on Wednesday as global markets focused on the vote count after the US presidential election.
The UK’s FTSE 100 Index is expected to open 8 points lower at 8,167, Germany’s DAX is down 65 points at 19,189, France’s CAC is down 22 points at 7,383 and Italy’s FTSE MIB is down 134 points at 34,098, according to data from IG.
Global markets are focused on results emerging from key battleground states that are expected to determine the winner of the presidential election between former President Donald Trump and Vice President Kamala Harris.
NBC News has projected winners in more than half of the US states. Trump won the big electoral college prizes in Texas and Florida, as well as the battleground states of Georgia and North Carolina. Harris carried New York and California, as well as Virginia.
US stock futures rose sharply in overnight trading as investors began to speculate that Trump could pull ahead in the presidential election. Asia-Pacific markets were mixed overnight.
Market attention is focused on which party will dominate Congress, as a Republican or Democratic victory could lead to drastic spending changes or a major overhaul of tax policy.
Wall Street is also gearing up for the Federal Reserve’s upcoming interest rate decision on Thursday. According to the CME Group’s FedWatch Tool, traders are pricing in a 96.1% chance of a quarter-point rate cut by the end of the central bank’s policy meeting, following a half-percentage-point cut in September.
Source: CNBC
