European Shares Decline Before The European Central Monetary Policy Decision

European shares fell on Thursday, ahead of talks between Russia and Ukraine and the European Central Bank’s monetary policy decision that may highlight the impact of the conflict on the Eurozone economy. The pan-European STOXX 600 index fell 0.7 percent, after rising in the previous session, which witnessed its best daily performance since March 2020. Automakers were the biggest decliners, while low-risk stocks such as real estate and health care recorded small losses. Oil stocks also rose. The foreign ministers of Russia and Ukraine met in Turkey on Thursday in the first high-level talks between the two countries since Moscow invaded its neighbor.

The European Central Bank is likely to make limited commitments on monetary policy as the shock of Russia’s invasion of Ukraine changed its outlook for the economy, with inflation in the Eurozone already at a record high.

German fashion house Hugo Boss fell 4.0 percent after announcing a temporary halt to its business in Russia, but its outlook is optimistic for 2022.

French media group Vivendi rose 0.8 percent after it announced a doubling of core operating profit in 2021.