Federal Reserve decision triggered stock decline in Europe.


European stock markets recorded losses due to the negative situation in Asia and the USA following the U.S. Federal Reserve's announcement to reduce its asset purchase program.
The Stoxx 600 index fell by 1.2%, while Asian stock indices dropped by the same amount. U.S. stock indices recovered after the largest drop in the S&P 500 since 2001 ahead of the Federal Reserve meeting.
Accompanied by comments from Bank of Japan Governor Kazuo Ueda questioning the rise in interest rates, the Japanese yen further depreciated. The yen's exchange rate to the dollar reached 156 yen, which is a record low.
Markets anticipate a decrease in interest rates in 2025. A block deal in the options market related to loan rates may benefit from the beginning of the next rate hike cycle next year.
Read also
- Ukrainians are explained how to properly sell a land plot
- Trump threatens Iran with 'terrible consequences' for supporting Houthis
- One phone call changed Hungary's position on sanctions
- Ukrenergo revealed how Russia tried to disrupt the synchronization of the Ukrainian and European energy systems
- Germany has provided Ukraine with a powerful military aid package including air defense and armored vehicles
- The USA has withdrawn from the group investigating Putin's crimes in Ukraine, - NYT