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European Shares May Recover After Monday's Selloff


European stocks may open higher on Tuesday, although overall gains are likely to remain muted ahead of the U.S. Federal Reserve's two-day policy meeting that kicks off later today.

The Fed is widely expected to hike its fed funds rate by 25 basis points, but investors will parse the policy statement for any fresh hints on the pace of further tightening.

The Bank of England and the Bank of Japan will announce their monetary policy decisions on Thursday and Friday, respectively.

U.S. Attorney General Jeff Sessions will testify in public to the Senate Intelligence Committee later today to explain his role in the Russia investigation.

In economic releases, U.K. consumer price inflation data and economic confidence figures from Germany are slated for release later in the day.

Asian stocks are trading mostly higher this morning as a sell-off in technology stocks ebbed. The dollar is little changed and oil prices held above $46 a barrel while the pound is marginally lower after losing over 2 percent in the previous two sessions.

The Canadian dollar climbed after Bank of Canada Senior Deputy Governor Carolyn Wilkins said there are encouraging signs that growth is broadening across regions and sectors.

Overnight, U.S. stocks fell as Apple led tech shares lower for the second day running on a day of little economic news. The Dow slid 0.2 percent, the tech-heavy Nasdaq dropped half a percent and the S&P 500 slipped 0.1 percent.

European markets fell the most in nearly a month on Monday, with a drop in technology shares as well as continued political uncertainty in the U.K. weighing on markets.

The pan-European Stoxx Europe 600 index fell 1 percent to suffer its largest single-day decline since May 17.

The German DAX lost 1 percent, France's CAC 40 index slumped 1.1 percent and the U.K.'s FTSE 100 shed 0.2 percent.

by RTTNews Staff Writer

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