FX.co ★ European Shares Edge Lower Ahead Of Fed, BOE Rate Decisions

European markets fell on Wednesday as investors awaited policy meetings from the Federal Reserve and the Bank of England for guidance.

Key economic statistics showed Germany's producer prices decreased for the eighth consecutive month in February, faster than initially predicted. The recorded annual drop of 4.1 percent followed a 4.4 percent decrease in January, continually falling since July 2023.

Meanwhile, the British pound weakened after data revealed a dip in UK consumer price inflation in February to its lowest since 2021. The consumer price index had an annual increase of 3.4 percent, lower than the 4.0 percent noted in January and the lowest it has been since September 2021.

While the European STOXX 600 fell by 0.2 percent to 50.30, the German DAX remained in a lull. France's CAC 40, on the other hand, dropped 0.7 percent, and the UK's FTSE 100 saw a 0.2 percent loss.

In company news, car manufacturer Stellantis NV recorded a marginal increase after securing a stake in the high-tech start-up, SteerLight. Conversely, British insurance and asset management leader, Prudential plc slipped 2.3 percent, even though it reported strong new business growth in 2023.

Despite holding its 2024 profit and revenue guidance, shipbroker Braemar saw a 3.7 percent surge. Johnson Matthey shot up 7.5 percent after agreeing to sell its medical device components division to Montagu Private Equity for a cash deal of $700 million.

In financial services, French lender Crédit Agricole remained relatively the same while Worldline, a digital payment service provider, dropped half a percent after announcing a joint venture with Crédit Agricole to offer digital payment options to French merchants.

Biotechnology organization, Valneva faced a 4 percent drop after revealing a net loss of 101.4 million euros for the fiscal year 2023. The company's annual total revenues decreased from 361.3 million euros in 2022 to 153.7 million euros.

Affected by a challenging environment, Deutsche Wohnen share prices plummeted nearly 5 percent. The German real estate company, a part of the Vonovia Group, recognized a reduction in fiscal 2023 group funds and delivered a substantial post-tax loss announcement.

Lastly, Indus Holding, an engineering and infrastructure holding firm, grew by 1.4 percent. The company announced after-tax earnings of 56.1 million euros for fiscal 2023 compared to the loss of 41.4 million euros from the previous year.