European Markets React to ECB's Decision and Economic Indicators

Following the European Central Bank's (ECB) decision to reduce interest rates by 25 basis points, major European stock markets experienced a downturn. Investors are closely monitoring the economic landscape, including the latest reports on UK house prices, German factory orders, and France's trade deficit, which was reported at €6.5 billion in January. Anticipation builds for the Eurozone's upcoming employment change and gross domestic product reports.

Market Performance Highlights

At the opening bell, the DAX saw a decline of 1.05%, with Vonovia's shares dropping by 4.7%. The FTSE 100 wasn't spared, slipping by 0.21%, as Rentokil's shares fell by 3.32%. Similarly, the CAC 40 and the Euro Stoxx 50 decreased by 0.42% and 0.46%, respectively, with Teleperformance and Deutsche Telekom experiencing significant losses.

Currency Movements

In currency markets, the euro appreciated by 0.41% against the dollar, trading at $1.08302. Meanwhile, the pound strengthened by 0.21%, reaching $1.29056 against the dollar.