Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

FTSE 100 falls as markets await US Federal Reserve decisions

Investors cautious as central bank prepares to give latest economic projections

Ben Chapman
Wednesday 17 March 2021 12:04 GMT
Comments
The company, which was at one stage tipped for the FTSE-100, has been battered by a 70 per cent collapse in its share price
The company, which was at one stage tipped for the FTSE-100, has been battered by a 70 per cent collapse in its share price

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

UK stock markets fell on Wednesday as investors waited for the US Federal Reserve to deliver its forecasts for the economy and decision on interest rates.

The FTSE 100 index dropped 0.4 per cent to 6,775.29 in early trading. Mining stocks including Anglo American and Evraz were among the biggest falls, both down 2.2 per cent.

Shares had been boosted on Tuseday by AstraZeneca which gained 3 per cent after the European Medical Agency reiterated its firm backing for the firm's Covid-19 vaccine. Royal Dutch Shell lost 1 per cent.

Global shares mostly fell in muted trading as world markets cautiously awaited the US central bank's assessment.

Read more:

France's CAC 40 slipped 0.1 per cent in early trading to 6,048.72, while Germany's DAX gained nearly 0.1 per cent to 14,568.97.

US shares were set to be little changed with Dow futures at 32,727. S&P 500 futures were less than 0.1 per cent lower at 3,951.12.

Japan's benchmark Nikkei 225 inched down less than 0.1 per cent to finish at 29,914.33. South Korea's Kospi slipped 0.6 per cent to 3,047.50. Australia's S&P/ASX 200 dipped 0.5 per cent to 6,795.20.

Hong Kong's Hang Seng was little changed inching up less than 0.1 per cent at 29,034.12, while the Shanghai Composite was also little changed, but down less than 0.1 per cent at 3,445.55.

Investors are awaiting the Federal Reserve's economic and interest rate projections, expected later in the day. Economists expect Fed Chair Jerome Powell will try to convince jittery financial markets that the central bank can continue providing support without igniting inflation.

Those worries have recently pushed bond yields higher, sapping buying demand for shares.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in