European Factors to Watch-Steady start eyed after Fed; Commerzbank in focus
LONDON, July 10
LONDON, July 10 (Reuters) - European stocks were seen opening steady on Thursday after the Federal Reserve showed no rush to end its easy money policy.
Commerzbank was once again in focus as sources said the German lender was expected to pay between $600 million and $800 million to resolve U.S. investigations. The penalty was previously reported to be more than $500 million.
Financial spreadbetters expected Britain's FTSE 100 to open 2 to 4 points higher and Germany's DAX to open 7 to 8 points higher, or up as much as 0.1 percent each. France's CAC 40 was seen opening 2 points higher, flat in percentage terms.
According to minutes from the last Federal Reserve meeting released on Wednesday, the central bank acknowledged the recent strengthening in the U.S. economy but suggested it was unlikely to raise policy rates until the second half of 2015.
The absence of a more hawkish message from the Fed eased worries over interest rate rises and helped Wall Street snap a two-day slide on Wednesday, while driving U.S. Treasury yields lower.
"Overall, due to the lack of fresh insight, analysts mainly feel this implies the minutes were more dovish than anything else," Stan Shamu, market strategist at spreadbetter IG, said in a trading note. "In fact, the minutes showed the Fed continues to show concern about growth rather than inflation."
Europe bourses in 2014: (link.reuters.com/pad95v)
Asset performance in 2014: (link.reuters.com/rav46v) > FED RELIEF LIFTS ASIAN STOCKS, DOLLAR SLIPS > WALL ST RISES AFTER FED MINUTES ON 'EASY MONEY' EXIT > NIKKEI FLAT AS POOR MACHINERY DATA OFFSETS FED OPTIMISM > U.S. BOND PRICES RISE AS FED HINTS NO HURRY TO HIKE RATES > FOREX-DOLLAR TRIPS OVER FED MINUTES, AUSSIE EYES JOBS TEST > GOLD UP ON WEAKER DOLLAR; INDIA BUDGET EYED FOR IMPORT DUTY CUT > LONDON COPPER STEADY, ALUMINIUM NEAR 13-MTH PEAK > BRENT INCHES DOWN TOWARD $108 ON WEAK U.S. GASOLINE DEMAND
(Reporting By Francesco Canepa; Editing by Gopakumar Warrier)