European Stocks Close Mixed Ahead Of Fed Policy Announcement

(RTTNews) - European stocks ended mixed on Wednesday with investors largely making cautious moves, digesting regional economic data, and looking ahead to the Federal Reserve's monetary policy announcement.

The Fed is widely expected to leave interest rates unchanged. Investors' focus will be on the accompanying statement and projections for hints the central bank could be planning to pivot to cutting rates next year.

The pan European Stoxx 600 edged down 0.06%. Germany's DAX and France's CAC 40 ended down 0.15% and 0.16%, respectively. The U.K.'s FTSE 100 crept up 0.08% and Switzerland's SMI climbed 0.34%.

Among other markets in Europe, Belgium, Finland, Ireland, Spain, Sweden and Turkiye closed weak.

Denmark, Greece, Iceland, Poland, Portugal and Russia ended higher, while Austria, Czech Republic, Netherlands and Norway closed flat.

In the UK market, RightMove dropped about 4.7%. TUI eased nearly 3% and Vodafone Group ended down 2.4%. Just Eat Takeaway.com, Auto Trader Group,WPP, Prudential, IHG, JD Sports Fashion Group, IAG and Legal & General lost 1 to 2%.

Entain rallied 5.3% on news the company's chief executive Jette Nygaard-Andersen is stepping down with immediate effect after coming under fire from investors for a languishing share price and a series of costly acquisitions.

AstraZeneca drifted down 2.5%. Segro, Land Securities, Antofagasta, British Land Company, Rentokil Initial, Fresnillo, BAE Systems, Melrose Industries, Centrica, Pennon, CRH, Compass Group, Croda International and Hiscox gained 1 to 2%.

In the German market, Siemens Energy declined 3.3%. Merck and Mercedes-Benz lost 1.4% and 1.1%, respectively. Zalando, BMW, Deutsche Boerse, Deutsche Telekom and Deutsche Bank also ended notably lower.

BASF gained about 4.5% following a rating upgrade by UBS. Covestro, Hannover Rueck, MTU Aero Engines, Continental, E.ON, Brenntag and Symrise advanced 1 to 2%.

In the French market, Carrefour ended down 4.4%. WorldLine, Alstom, Orange and Renault lost 2.4 to 3.4%. Safran, AXA and Publicis Groupe also ended notably lower.

Essilor climbed about 1.2%. Thales, Hermes International, Engie, Sanofi and Unibail Rodamco ended higher by 0.5 to 1%.

Data from the Office for National Statistics showed the U.K. economy contracted in October on widespread declines across services, production and construction sectors. GDP unexpectedly shrank 0.3% in October, partially offsetting growth of 0.2% in September. Analysts expected GDP to remain flat in the month.

On a yearly basis, GDP expanded 0.3% but much weaker than the 1.3% growth logged in September and economists' forecast of 0.6%.

Eurozone industrial production dropped for the second straight month in October, reflecting weaker demand for manufactured goods, official data showed.

Industrial production dropped 0.7% on month in October, which was slower than the 1% decrease in September, Eurostat reported. Output was forecast to fall 0.3%.

The Swiss economy is set to register well below average growth in 2024 as the weaker momentum in the euro area hurts Swiss exports and higher financing cost curbs investment, the State Secretariat for Economic Affairs, or SECO, said. In the economic forecast, the expert group of the SECO said gross domestic product will grow 1.3% this year.