Financial expert analyzes: European stock markets are falling - impact on US Federal Reserve decision

Financial expert analyzes: European stock markets are falling - impact on US Federal Reserve decision

According to a report by www.faz.net European stock markets recorded significant losses on Wednesday. In particular, the weak performance of the luxury goods group LVMH, which led to a sharp loss after the publication of its financial figures, weighed on the market. This caused the Euro Stoxx 50 to fall by 1.3 percent to 4334 points and the French Cac 40 to fall by 1.6 percent.

Furthermore, many investors remained cautious in the middle of the week due to the upcoming interest rate signals from the US Federal Reserve and the European Central Bank (ECB). It is expected that both central banks will raise interest rates again on Thursday by 0.25 percentage points each. These expectations are already having an impact on the market, as investors are primarily concentrating on the signals from central banks regarding further monetary policy developments.

This means a time of uncertainty for the financial industry. The interest rate decisions of the two central banks could have an impact on money deposits and expenditure for both companies and private individuals. In addition, contradictory or unclear communication from central banks could lead to increased volatility on the stock market. Investors are sensitive to changes in monetary policy, which can lead to short-term effects on the market.

It remains to be seen how the central banks will react and how investors will react. The company's quarterly reporting season also caused movement on the market, particularly for individual stocks such as RWE, Deutsche Bank, Porsche AG, MTU and the Deutsche Börse. These developments will continue to impact the financial industry in the coming days and weeks.