Investing.com - European markets opened lower on Thursday, after the Federal Reserve raised interest rates as expected and as investors awaited policy decisions from the Bank of England and the European Central Bank due later in the day.
The EURO STOXX 50 eased 0.08%, France’s CAC 40 dipped 0.02%, while Germany’s DAX 30 was down 0.15% by 03:30 a.m. ET (07:30 GMT).
In a widely expected move, the Fed raised interest rates by 25 basis points to 1.50% at the conclusion of its policy meeting on Wednesday.
The central bank did not change its projections for 2018, which include three more interest rate hikes in both 2018 and 2019, disappointing expectations for four rate hikes next year.
Financial stocks were mixed, as Societe Generale (PA:SOGN) slid 0.43% and BNP Paribas (PA:BNPP) eased up 0.11% in France, while Germany's Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) declined 0.61% and 0.24%.
Among peripheral lenders, Unicredit (MI:CRDI) added 0.18% and Intesa Sanpaolo (MI:ISP) dipped 0.07% in Italy, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) slipped 0.18% and 0.21% respectively.
Elsewhere, Safran (PA:SAF) shares plunged 2.40% after Dassault Aviation said on Wednesday that it plans to drop a contract with the company for the development of the Silvercrest business jet engine. Dassault also said it will be launching a new project powered by U.S. group Pratt & Whitney.
Atos SE (PA:ATOS) added to losses, with shares down 2.92% after the company confirmed plans to pursue its unsolicited bid to buy Gemalto (AS:GTO) NV even as the security-software maker’s board rejected the €4.3 billion offer.
In London, FTSE 100 edged down 0.13%, weighed by Capita, whose shares dove 13.62% after the outsourcing company said it was on track to hit its full-year profit target but signalled some difficulties for 2018 as the market for major contracts remains “subdued, particularly in the public sector”.
Travis Perkins (LON:TPK) lost 1.79% after the stock was downgraded by analysts at J P Morgan Chase & Co to a “neutral” rating oon Thursday.
Financial stocks were also on the downside, as the Royal Bank of Scotland (LON:RBS) eased 0.07% and Barclays (LON:BARC) fell 0.29%, while Lloyds Banking (LON:LLOY) declined 0.62% and HSBC Holdings (LON:HSBA) tumbled 1.29%.
Meanwhile, mining stocks were mostly higher on the commodity-heavy index. Shares in Rio Tinto (LON:RIO) rose 0.34% and BHP Billiton (LON:BLT) advanced 0.76%, while Randgold Resources (LON:RRS) and Glencore (LON:GLEN) jumped 1.32% and 1.79% respectively.
Market participants were also digesting news that British lawmakers voted in favor of an amendment to the European Union Withdrawal Bill on Wednesday, marking a defeat for Prime Minister Theresa May just before a trip to Brussels for a two-day summit on Thursday.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.20% increase, S&P 500 futures signaled a 0.13% gain, while the Nasdaq 100 futures indicated a 0.16% rise.