07.01.202617:27:19UTC+00European Stocks Ease from Records

European stock indices experienced a slight decline on Wednesday, as equities paused from their recent upward trend. Investors remain focused on evaluating the European Central Bank's (ECB) policy outlook for this year. Both the Eurozone's STOXX 50 and the pan-European STOXX 600 slipped by 0.1% from their record highs reached earlier. December figures revealed the Eurozone's inflation rate slowed to 2% as anticipated, with the core rate unexpectedly declining, underscoring expectations that the ECB might reduce borrowing costs this year. The financial sector was notably impacted, with ING and BBVA each dropping over 2%, leading a downward trend in banking stocks, while Deutsche Boerse saw a decline exceeding 3%. Conversely, the defense sector rallied, spurred by heightened geopolitical tensions following remarks on Greenland by White House officials and the US's interception of a Russian tanker breaching the Venezuelan blockade. In defense, Rheinmetall and Leonardo both advanced by 5%, while Thales surged by 8%.