Market Drivers – European Session 15-12-2021

Markets are in anticipation and calm ahead of the Fed meeting.

European shares rose on Wednesday ahead of the US Federal Reserve’s monetary policy decision, which is likely to tilt the pandemic’s stimulus back at a faster pace to counter growing inflation risks.

The pan-European Stoxx 600 index rose 0.5 percent to 471.84 points by 0831 GMT. Stock markets across Asia fell as weaker-than-expected Chinese retail sales data in November dampened sentiment.

The headline General Business Conditions Index of the NY Fed’s Empire State Manufacturing Survey surprisingly rose to 31.90 in December, up from 30.90 in November. That was a beat on the market’s median forecast for a decline to 25.00.

Oil prices fell on Wednesday for a third day on mounting indications that supply growth will outpace demand next year and with the World Health Organization saying coronavirus vaccines may be less effective against the Omicron strain.

Brent crude futures fell 80 cents, or 1.1 percent, to $72.90 a barrel by 1111 GMT, after losing 69 cents on Tuesday.