European stocks fell for the third consecutive session, with Wall Street equities looking set to follow them lower, as traders anticipated the European Central Bank would begin winding back its crisis-fighting monetary stimulus.
The Stoxx Europe 600 dropped 0.7 per cent, after it fell by its most in three weeks on Wednesday. London’s FTSE 100 fell 1.1 per cent and futures markets signalled Wall Street’s S&P 500 would lose 0.4 per cent in early New York dealings.
Markets have been focused for months on when the US Federal Reserve, the world’s most influential central bank, might announce a reduction of its pandemic-era bond buying scheme that has lowered borrowing costs and boosted equity valuations since March 2020.