Dipo Olowookere
By Investors Hub
European stocks opened a tad lower on Wednesday after U.S. shares fell overnight in the wake of a rising dollar, disappointing results from Walmart and climbing bond yields on expectations of a faster pace of interest rate increases from the Federal Reserve.
On the data front, Germany’s private sector expanded strongly in February, although the pace of growth slowed from a near seven-year high seen in January, flash data from IHS Markit showed today. The composite output index dropped unexpectedly to a 3-month low of 57.4 from 59.0 in January.
France’s private sector expanded at the slowest pace in four months in February. The composite output index fell more-than-expected to 57.8 from 59.6 in January.
The dollar firmed up to trade at a one-week high versus a basket of major currencies as investors awaited the minutes of the Federal Reserve’s Jan. 30-31 meeting for insight on inflation and interest rates.
While the U.K.?s FTSE Index has inched up by 0.1 percent, the French CAC 40 Index is down by 0.3 percent and the German DAX Index is down by 0.5 percent.
Swiss banking software company Temenos Group shed 0.8 percent after it agreed to buy British financial software firm Fidessa Group for about 1.4 billion pounds ($1.96 billion).
German stock exchange operator Deutsche Börse rose over 1 percent after posting solid earnings growth for 2017.
Glencore shares advanced 1.7 percent. The commodity trading and mining company announced a bumper payout to shareholders after reporting a more than fourfold jump in net profit for 2017.
U.K. housebuilder Barratt Developments gained 1 percent on posting record first-half profit.
French telecoms operator Orange rallied 2 percent after annual revenues in its home country rose for the first time in nine years.
Lloyds Banking Group climbed 2 percent. The bank announced plans to return £1bn to shareholders after reporting sharply higher profits for 2017.
