Barclays sees first ECB rate cut in April
Villeroy Next ECB move should be a cut; 39;enjoy39; the plateau
Sweden39;s Sectra tops STOXX 600 after Q2 report
Symrise slides on EBITDA margin outlook cut
Dec 15 Reuters European shares inched up on the final day of a week marked by major central bank policy decisions, in which the U.S. Federal Reserve set the tone for market expectations about interest rate cuts being on the horizon.
The panEuropean STOXX 600 edged 0.1 higher on Friday, posting its fifth straight weekly advance and recording its longest weekly winning streak since April.
The German benchmark DAX was flat, while France39;s CAC40 climbed 0.3 after both hit record highs on Thursday.
For the week, ratesensitive real estate stocks were the top gainers, while the telecommunication sector took the worst hit.
On the policy front, the Fed stood out, signalling lower borrowing costs in 2024, while the European Central Bank held rates steady, pushing back against ratecut bets on Thursday.
Our economists see… the hawkish tilt of Thursday39;s ECB meeting as reducing the risk of the ECB cutting as soon as March, but retain their view of rate cuts starting in April with 150 bps of cuts by the end of next year, Deutsche Bank said in a note.
Barclays forecast a 25basispoint ECB rate cut in April and consecutive cuts in each policy meeting until January 2025.
Meanwhile, ECB policymaker Francois Villeroy de Galhau said although the ECB39;s next move should be…