Stocks falter tracking US, China policy updates [Video]

European and Asian stock markets mostly retreated Friday as US and China policy updates cause concern about growth outlooks in the world’s two biggest economies.

There is unease that US president-elect Donald Trump’s planned tax cuts and import tariffs will rekindle inflation in the United States and beyond, which could in turn see the Federal Reserve scale back on interest-rate cuts.

Europe’s main stock markets lost almost one percent around midday, despite Wall Street striking fresh record highs Thursday after the Fed trimmed US borrowing costs by 25 basis points.

The dollar traded mixed against main rivals Friday.

“(Fed) news which ordinarily would have drawn a lot of the market’s focus has been pushed down the agenda as attention is turned to the implications of Donald Trump’s return to the White House,” noted Russ Mould, investment director at AJ Bell trading group.

Chinese stocks ended lower Friday ahead of fresh announcements aimed at stimulating China’s struggling economy.

China …