Stocks in the U.K were easier on Wednesday morning for the third session in a row as investors were unsure on the direction the market will take after the recent rally and with the important release on minutes of the latest Federal Reserve meeting due out this evening. The FTSE 100 was trading nearly 0.3% lower at 6,721 after finishing Tuesday’s session at 6,738.45, its lowest closing level since June 26th, after coming close to multi year highs at the end of last week.
Concerns that a stronger economy in the U.S. may prompt the Fed to begin raising interest rates earlier than expected, with a number of analysts bringing forward their forecasts for the first rate hike in recent days. Minutes of the June 17-18th Federal Open Market Committee meeting will be released at 17:00.
Overnight consumer price data from China was released showing that inflation eased more than estimated to 2.3% in June, down from 2.5% the month before and well below the level targeted by the central bank.
In the U.S. after hours aluminium group Alcoa kicked off second-quarter US earnings season strongly with a return to profit on the back of lower restructuring and cost-cutting measures. Adjusted earnings per share rose to 18 cents from seven cents, beating the 12 cents consensus forecast.