European stocks fluctuated before closing lower in advance of the US Federal Reserve’s decision, in a nod to global economic weakness, to keep interest rates unchanged.
US stocks ended lower after swinging between gains and losses following the announcement by the Fed.
DUBLIN The Iseq index closed up 0.5 per cent at 6,521.68.
Dublin insurance company FBD was the main riser on the day, up 7.4 per cent to €7.25 as the market reacted positively to news late on Wednesday that it had secured a €70 million loan from Prem Watsa's Fairfax to meet EU solvency rules.
Bookmaker Paddy Power established a new all-time high at closing, finishing up 2.6 per cent to €102.55. The company is pursuing a merger with UK betting exchange Betfair.
Permanent TSB closed up a little more than 3 per cent at €4.95 on light volumes, while food group Kerry and building materials company Kingspan both finished the day more than 2 per cent higher.
Among the fallers, Smurfit Kappa closed 1.5 per cent lower at €26.20, while Ryanair ended down 0.8 per cent at €13.505.
EUROPE The Stoxx Europe 600 index fell 0.2 per cent at the close of trading. A gauge of mining shares posted the worst performance among Stoxx 600 groups, with Rio Tinto Group and Antofagasta Plc falling more than 2.1 per cent.
Rotork Plc plunged 11 per cent after forecasting annual revenue below analysts' estimates and saying the year's second half will be challenging.
Spain's Ibex 35 index was up 1.3 per cent, led by gains in lenders. Bankia SA rallied 9.3 per cent as Morgan Stanley raised its rating on the stock to the equivalent of a buy. Banco de Sabadell SA and Banco Popular Espanol SA were up at least 4.6 per cent after HSBC Holdings Plc upgraded the lenders.
RWE AG jumped 9 per cent after a report that Aabar Investments PJSC is close to investing in the German utility. RWE said it won't pursue selling a stake.
Ocado Group Plc rallied 8.4 per cent after Morgan Stanley began coverage of the shares with an overweight rating and Deutsche Bank AG upgraded the online grocer.
LONDON The FTSE 100 index lost 0.7 per cent to 6,186.99 at the close, snapping two days of gains, in advance of a landmark decision on interest rates from the US Federal Reserve. The broader FTSE All-Share Index fell 0.6 per cent.
Smiths Group Plc fell 4.2 per cent, posting the biggest decline in the UK benchmark, after peer Rotork Plc forecast full-year sales that were below analysts' estimates.
Weir Group Plc slumped 2.6 per cent. Sinclair IS Pharma Plc soared 17 per cent after a report that the company may be a takeover target.
NEW YORK The Dow Jones Industrial Average slipped 65.21 points, or 0.4 per cent, to 16,674.74.
Stocks most sensitive to interest rates had the largest moves, with utilities and real-estate companies advancing at least 0.9 percent while banks lost 2.4 per cent. The decision to shold fire on rates keeps a pillar of the bull market in place, as record- low borrowing costs have helped propel stocks higher by nearly 200 percent in the past 6½ years. It also amplifies uncertainty about the strength of the American economy at a time financial markets have been rocked by concern that a slowdown in China will spread.
The SP& 500 had fallen 3.3 percent this year after three years of double-digit gains.
Meanwhile, airlines rallied after Barclays said the latest leg lower for oil is a "positive ongoing catalyst" for the industry. United Continental Holdings Inc. jumped 6.2 per cent, American Airlines Group. gained 2.2 percent and Spirit Airlines Inc. rose 6.7 percent, the most since January.
Oracle declined 4 per cent after reporting first- quarter revenue that fell short of analysts’ projections. – (Additional reporting: Bloomberg/ Reuters)
