European Equities Fade.
Major European stock exchanges shook on Wednesday afternoon as investors analysed recent business results and anticipated the ECB's monetary policy announcement, which is scheduled for tomorrow. The STOXX 600 failed to hold onto early gains and dropped about 0.4%, while the DAX was able to maintain its positive performance, rising nearly 0.2%.
Investors received some comfort from Barclays, Deutsche Bank, and Mercedes-Benz results, but the IT industry was still under pressure following Alphabet's disappointing earnings and revenue results and Microsoft's worst quarterly sales growth in five years.
As quarterly results fell short of expectations, shares of Heineken (-7.1%) and ASMI (-8.1%) declined at the same time. In the meanwhile, amid increased recession risks, the ECB is anticipated to push markets toward quantitative tightening and boost interest rates by 75 basis points.
(Report by: The Decision Maker - Finance editors)