Europe open: Shares edge lower on rate cut timing; WoS tanks after warning

(Sharecast News) - European shares made cautious start to trading on Thursday, with shares edging lower as investors digested comments from central bankers this week that poured cold water on the idea of early interest rate cuts this year. The pan-European Stoxx 600 index was down 0.03% at 467.58 in early deals. US markets closed in the red, while Asia trade was mixed.

Sentiment was also hit by continuing tit-for-tat attacks in the Red Sea between US forces and Iran-backed Houthi rebels in the last 24 hours.

Traders were also looking at another dump of corporate trading updates.

Watches of Switzerland shares tanked after the luxury goods seller cut revenue guidance and warned of continuing volatility as consumers shunned its expensive products.

However, sector peer and Cartier owner Richemont made strong gains after a trading update revealed strong demand in China, although sales fell in Europe.

Reporting by Frank Prenesti for Sharecast.com