European stocks ground out a tiny gain on Monday, as a pair of big merger reports and a weak pound sent London's FTSE 100 higher, while defensive plays dominated other major markets ahead of Wednesday's US Federal Reserve policy decision.
The exporter-heavy index also drew support from a slide in sterling on a perceived rise in the chances of Britain exiting the European Union without a deal under new Prime Minister Boris Johnson.Ireland's main stock index ISEQ, which has tended to fall on fears of a disorderly Brexit, skidded 0.9 per cent.
The Fed is widely predicted to cut rates by a 25 basis point for the first time in a decade on Wednesday, but investors will be watching its statement for clues on whether that is just the start of new cycle of easing by the US central bank.
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