Investing.com - European stocks moved lower on Wednesday, as investors remained cautious ahead of the Federal Reserve’s monetary policy decision due later in the day.
During European morning trade, the EURO STOXX 50 declined 0.34%, France’s CAC 40 dropped 0.40%, while Germany’s DAX 30 slipped 0.18%.
The Fed is widely expected to hike rates for the first time in a year on at the conclusion of its meeting later Wednesday.
The U.S. central bank will also announce updated economic forecasts and markets will be watching closely for signals on the outlook for inflation and the expected pace of rate hikes in 2017.
Financial stocks were mixed, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) gained 0.62% and 1.25%, while Germany’s Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) fell 0.14% and 0.31%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) climbed 0.54%, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) dipped 0.02% and 0.05% respectively.
Actelion Ltd (SIX:ATLN) saw shares plunge 6.33% amid reports Johnson and Johnson was dropping its bid to acquire the Swiss firm.
However, Sanofi (PA:SASY), whose shares were down 2.41%, was said to be in talks to buy Actelion.
Spanish retailer Inditex (MC:ITX) added to losses, as shares fell 0.33%, after reported a net profit of €2.2 billion for the nine months from February to October.
In London, FTSE 100 slipped 0.27%, led by Dixons Carphone (LON:DC), whose shares plummeted 3.57% even as it reported a 19% increase in its first-half profit thanks to strong sales in the U.K.
Mining stocks were also on the downside, as Rio Tinto (LON:RIO) edged down 0.11% and Fresnillo (LON:FRES) dropped 0.53%, while rival company Glencore (LON:GLEN) lost 1.33%.
In the financial sector, stocks were mixed. Shares in the Royal Bank of Scotland (LON:RBS) gained 0.75% and Lloyds Banking (LON:LLOY) jumped 0.96%, while HSBC Holdings (LON:HSBA) dipped 0.02% and Barclays (LON:BARC) tumbled 1.28%.
Meanwhile, Micro Focus International (LON:MCRO) was one of the top performers on the index, with shares up 2.07%, after the software company reported a rise in interim net profit and kept its fiscal year guidance unchanged.
In the U.S., equity markets pointed to a steady open. The Dow Jones Industrial Average futures pointed to a 0.06% dip, S&P 500 futures showed a 0.04% downtick, while the Nasdaq 100 futures indicated a 0.02% gain.