European shares were expected to open lower on Wednesday after the G20 summit concluded with world leaders stating that they would take “all necessary measures” to prevent a euro zone collapse, but giving little detail on how.
The FTSE was seen opening 6 points lower at 5580, the DAX was called lower by 18 points at 6345 and the CAC 40 was expected to open lower by 9 points at 3109.
Europe won the support of the G20 – the world’s 19 largest global economies plus an European Union representative - on Tuesday evening amid growing pressure from financial markets to come to a quick and lasting solution to its debt crisis.
European leaders told the G20 Summit in Los Cabos, Mexico they planned to deliver concrete plans to integrate disparate euro zone banking sectors, something the United States has long campaigned for as a way of breaking the cycle of already indebted nations bailing out their banks only to subsequently need a bailout themselves.
Meanwhile, Italy pressed for the euro zone's rescue funds to start buying the debt of distressed European countries at the G20 Summit, as the yields on its own sovereign debt continued to rise.
The idea is expected to be discussed at a meeting of leaders in Rome on Friday.Page 1 of 3 | Next Page