European stocks close on red

The overwhelming majority of European indices had a day to forget - as happened with the Portuguese PSI 20. Analysts point to the Federal Reserve's statements as a cause.

The opening of the European securities markets this Thursday already predicted that the closing time would be essentially painted red: in the long list of European indices, it is difficult to find one that has closed up - one of the most honorable exceptions is the Belgian BEL 20, which was rising 11% to 3.396,80 points.

The most representative indices were all in the red: the IBEX 35 was down 0,35% to 7.085 points; the CAC 40 - which had a difficult day yesterday - fell 0,69% to 5.039,5 points; FT SE 100 slipped 0,46% to 6.050,30 points; and the German DAX slipped 0,37% to 13,206,40 points.

The PSI 20 was in line with Europe, dropping 0,05% to 4.291,32 points - which in any case puts the Portuguese index in the group of those that fell the least during the day. At the close, the slippage was 0,16% EDP Renováveis ​​was the 'champion' of declines (1,97% less to 13,92 euros per share), accompanied on the other side by Corticeira Amorim (growing 3,61% to 10,9 euros per share), recovering from the declines it experienced last week.

For analysts, European markets declined after the United States Federal Reserve decided on Wednesday to keep interest rates low. The American central bank decided to keep interest rates close to zero until inflation exceeded 2%. Fed leader Jerome Powell, on the other hand, demanded an increase in public sector spending to support the US economy, thus launching the recovery after the pandemic. The problem is that Republicans and Democrats do not understand each other in the US Congress, which has jeopardized the financing of the recovery.

In any case, the intervention of the Federal Reserve cannot explain today's declines, given that this theme was presented as sustaining the markets - both European and Wall Street - over yesterday. Now, as everything the Fed said was already foreseen and anticipated by analysts, the same factor cannot explain the rises of one day and the descents of the next day.

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