European markets seen lower, traders digest Draghi comments

European bourses are expected to open lower on Wednesday morning as investors digest comments from European Central Bank President Mario Draghi who suggested the central bank could taper its stimulus program this year.

The FTSE 100 is on track to open 17 points lower at 7,415; the German DAX is seen opening down 65 points at 12,603; and the French CAC is set to open lower by 24 points at 5,232, according to IG.

The euro was marginally higher ahead of Wednesday’s opening bell, up 0.1 percent at $1.1347. The single currency had hit 10-month highs in the previous session after Draghi hinted the central bank could be prepared to scale back its monetary policy amid improving economic prospects in Europe.

However, he iterated that any move would be gradual and said that support was still needed for a recovering euro area.

Elsewhere, U.S. stocks accelerated their losses on Tuesday after Senate Republican leader Mitch McConnell moved to delay a planned vote on health care reform.

Looking ahead, German Chancellor Angela Merkel will address the Christian Democratic Union (CDU) and Christian Social Union (CSU) congress to discuss digitalization at around 12.30 p.m. London.

Meanwhile, Delivery Hero is expected to announce the final pricing of its Initial Public Offering (IPO) before shares for the global online food ordering and delivery marketplace firm are set to commence trading on June 30.

The World Economic Forum in Dalian, China is scheduled to continue while the ECB’s forum on central banking in Sintra, Portugal concludes on Wednesday. Source: CNBC