European shares led lower by commodity stocks, gloomy BOJ view

martes 15 de marzo de 2016 07:45 GYT
 

* Pan-European FTSEurofirst 300 index retreats

* Miners among top decliners as metals slip

* Galenica shares slump after results (Updates prices)

By Atul Prakash

LONDON, March 15 (Reuters) - European shares retreated on Tuesday, mirroring weaker commodity prices and losses in Asia where stocks slipped after the Bank of Japan held policy steady and presented a bleaker view of the country's economy.

Six weeks after the shift to negative rates, the BOJ dropped references to taking rates down further and widened an exemption to include $90 billion in short-term funds known as money-reserve funds.

"The BOJ is running out of monetary policy firepower, so it was not a surprise to see that there is no change to the policy this week," said Lorne Baring, managing director at B Capital Wealth Management.

"Also, China's industrial output figures at the weekend showed contraction yet again and underscore the weakness in demand from the world's second largest economy. There is still a soft demand coupled with an excess supply story in the commodities spectrum."

The STOXX Europe 600 Basic Resources index fell 4.4 percent, the top sectoral decliner, as copper prices dropped. The European oil and gas index was also down 1.9 percent as crude oil prices slipped.   Continuación...