European Shares Decline As Traders Await Powell's Testimony

(RTTNews) - European stocks drifted lower on Tuesday amid disappointment from the lack of fresh supportive measures in top consumer China and signs the U.S. Federal Reserve is in no hurry to cut interest rates.

In economic releases, a survey showed Business activity in the eurozone's key services sector picked up to a seven-month high in February.

The pan European STOXX 600 was down 0.2 percent at 496.38 ahead of the European Central Bank's (ECB) rate decision and congressional testimony from Fed Chair Jerome Powell due this week.

The German DAX, France's CAC 40 and the U.K.'s FTSE 100 were down between 0.2 percent and 0.3 percent.

The British pound declined against its major rivals ahead of the release of the U.K. general budget for 2024.

In corporate news, Swiss generic and biosimilar manufacturer Sandoz lost 4 percent after completing the acquisition of the U.S. biosimilar CIMERLI (ranibizumab-eqrn) from Coherus BioSciences, Inc, ahead of anticipated timelines.

BP Plc fell about half a percent and peer Shell gave up 1.1 percent in London as oil extended overnight losses amid concerns about the outlook for energy demand.

Ashtead Group slumped 7.7 percent after the equipment rental firm narrowed its full-year guidance, citing a lower level of activity in the North America market.

Telecommunications testing firm Spirent jumped 58 percent after it has agreed to be taken over by U.S. communications equipment company Viavi Solutions in a deal valued at about 1.01 billion pounds ($1.28 billion).

Car distributor Inchcape plummeted 9 percent after flagging moderate growth this year.

Thales shares nearly 7 percent in Paris. The French technology firm lifted dividend and projected organic sales growth of between 4 percent and 6 percent for fiscal 2024.

Bayer, a German pharmaceutical and biotechnology major, fell about 1 percent after posting a decline in fourth-quarter sales.

Schaeffler tumbled 3.7 percent. The manufacturer of rolling element bearings reported that its fiscal 2023 net income attributable to shareholders of the parent company amounted to 310 million euros, down from last year's 557 million euros.