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European stocks, euro slide despite ECB pledges to act

Published on Jan 10, 2014 1:48 AM

LONDON (AFP) - European stocks and the euro pulled back on Thursday as investors were apparently unimpressed with the ECB's pledges to act if necessary to ward off deflation or a credit crunch.

Investors had widely expected the European Central Bank and Bank of England to hold their rates steady, but despite strong comments by ECB chief Mario Draghi, markets slid.

London's benchmark FTSE 100 index closed down 0.45 per cent at 6,691.34 points, while Frankfurt's DAX 30 shed 0.80 per cent to 9,421.61 points and the CAC 40 in Paris fell 0.84 per cent to 4,225.14 points.

The ECB's policy-setting governing council left its central "refi" refinancing rate at the current historic low of 0.25 per cent.

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