On Thursday, the European stock market opened at a negative territory, following ongoing concerns regarding the Federal Reserve possibility to cut down the monthly bond-buying program sooner than expected. In addition, the World Bank recently lowered their expected growth forecast for the euro-zone for the year.
Germany’s DAX dropped to 1.49 percent to 8,021.80, while the European Euro Stoxx 50 opened at a low 1.02 percent at 2,639.30 at 7:01am GMT .France’s CAC 40 dropped 1.21 percent to3, 748.30 and the UK’s FTSE 100 dropped 1025% to 6,221.30.
On Thursday, The World Bank released a report saying, the global economy will grow by 2.2% this year, down from the last year’s rate of 2.3%.
“Hard data so far this year points to a global economy that is slowly getting back on its feet. However, the recovery remains hesitant and uneven,” the bank stated.
The gross domestic product for euro zone has indicated it has decreased by 0.6 percent this year, while the US economy is showing signs of boosting by 2% this year, according to the bank.
Developing countries is predicated to expand by 5.1 this year, while China’s growth forecast was cut to 7.7% from 8.4%. The World Bank forecast a 1.4% increase this year.
Italy is due to hold auctions of treasury bonds for 2016 and 2028 with coupons of 2.25 percent and 4.75 percent respectively, while in Rome, the government is aiming to meet its 5 million euro target.
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