European stocks pull back, focus on data

By FXstreet.com | Updated August 28, 2014 AAA

FXStreet (Córdoba) - European stocks followed Asian peers lower as the dollar weakened across the board ahead of the US gross domestic product figures. Uncertainty about European Central Bank possible easing measures has turned investors more cautious.

On Wednesday, Reuters reported ECB sources saying the central bank was unlikely to take new policy action next week unless August inflation figures on Friday come much weaker than expected.

The Stoxx Europe 600 fell 0.52% to 341.55 in early trade. As for country-specific indexes the UK FTSE dropped 0.29%. The Germany’s DAX 30 shed 0.77% and the France’s CAC 40 lost 0.55%. Spain’s Ibex 35 was down 0.60% while Italy’s FTSE MIB dropped 0.85%.

In the macroeconomic domain, US GDP revision for Q2, initial jobless claims and pending home sales are on tap during the New York session.

In the currencies market, the USD weakened further, with the EUR/USD climbing 0.2% to above 1.3200. The British pound, Swiss franc, and the AUD, NZD and CAD all climbed at least 0.1%.

As for commodities, gold and silver rose for a third day. The yellow metal gained 0.54% to $1,290 an ounce. Crude oil dipped 0.33% to $93.57 a barrel.

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