European Markets Open Lower as Investors Digest European Central Bank Rate Cut
European markets opened lower on Friday (12/13) as investors reacted to disappointing data from the region’s two largest economies.
The pan-European Stoxx 600 fell 0.18% after the opening bell, following an unexpected contraction in U.K. GDP and key export data from Germany.
On Thursday, the European Central Bank cut its key interest rate by 25 basis points, marking its fourth and final rate cut this year. Policymakers also signaled the possibility of further cuts in 2025.
The Swiss National Bank also cut rates on Thursday by a larger-than-anticipated 50 basis points, while Denmark’s central bank announced a 25 basis point cut.
Central bank watchers now turn their attention to next week and interest rate decisions from the U.S. Federal Reserve and the Bank of England.
Asia-Pacific markets mostly fell overnight, led by losses in China after Beijing reiterated its recent policy shift and emphasized plans to boost growth after a key meeting on Thursday.
U.S. futures were lower after a losing session on Wall Street.
Source: CNBC
