European shares down, focus on data for hints about ECB move

jueves 28 de agosto de 2014 04:24 GYT

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By Atul Prakash

LONDON, Aug 28 (Reuters) - European shares retreated from a one-month high on Thursday, with uncertainty regarding the European Central Bank's possible move to ease policy to stimulate growth prompting investors to trade cautiously.

Investors awaited a slew of data releases on both Thursday and Friday for hints about the market's direction in the near term. Speculation of a quantitative easing (QE) programme has grown since ECB President Mario Draghi struck a dovish tone at the Jackson Hole meeting last week.

But ECB sources said late on Wednesday the central bank was unlikely to take new policy action next week unless August inflation figures on Friday show the euro zone sinking significantly towards deflation.

"The market's primary focus appears to be on the ECB and the likelihood and exact timing of any possible QE policy action," said Robert Parkes, director of equity strategy at HSBC.

"There has been some caution as investors are getting mixed signals. Further economic indicators could provide some hints about the ECB's next move."   Continuación...