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Virus concerns weigh on European stocks ahead of ECB policy decision

Published 23/01/2020, 09:27
Virus concerns weigh on European stocks ahead of ECB policy decision
STMPA
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STOXX
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SXEP
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SXAP
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(For a live blog on European stocks, type LIVE/ in an Eikon

news window)

Jan 23 (Reuters) - European shares fell in early trading on

Thursday, hit by worries over the spread of a new flu-like virus

in China, with investors also bracing for the European Central

Bank's first policy decision of the year.

The pan-European STOXX 600 .STOXX index dropped 0.4% at

0806 GMT as the energy subsector .SXEP slipped 0.8%, tracking

a slide in oil prices on concerns that the virus outbreak may

dent fuel demand. O/R

Auto stocks .SXAP hit fresh three-month lows after U.S.

President Donald Trump threatened to impose high tariffs on

imports of cars from the European Union if the bloc doesn't

agree to a trade deal. While the ECB is expected to leave its monetary policy on

hold, the bank's president, Christine Lagarde, is set to launch

a broad review of policy that is likely to see her redefine the

central bank's main goal and how to achieve it. Among individual stocks, Apple-supplier STMicroelectronics

STM.PA gained 4.6% and was the top performer on the benchmark

index, after the chipmaker reported fourth-quarter sales and

gross margin above the mid-point of its forecast.

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