Investors hold back before US Federal Reserve decision on monetary policy

European stocks were little changed as investors awaited a Federal Reserve monetary-policy decision, while oil and gas companies advanced amid violence in Iraq.

National benchmark indices rose in 10 of the 18 markets in western Europe. Germany’s DAX added 0.1 per cent, France’s CAC 40 slipped 0.1 per cent, and the UK’s FTSE 100 gained 0.2 per cent. On the Irish Stock Exchange, the Iseq Overall index fell by just under 1 per cent to 4,803.51 on a day when a number of high-profile stocks saw their share prices decline. DUBLIN Several of the exchange’s main stocks declined yesterday amid profit-taking and concerns about events in Iraq.

Building materials group Kingspan finished 2.2 per cent lower, CRH closed down 1 per cent, Glanbia finished 1.2 per cent lower, Bank of Ireland closed down 0.8 per cent, Kerry Group was 1.4 per cent off while Irish Continental Group finished the day more than 5 per cent under water.

Airline stocks were impacted by the political uncertainty in Iraq. Aer Lingus closed down 2.1 per cent at €1.40 while Ryanair finished 2.7 per cent lower at €6.874.

Insurer FBD bucked the trend among main market companies yesterday, closing up 3 per cent at €17.15.

The five most traded stocks in Dublin yesterday were Ryanair, Bank of Ireland, CRH, Smurfit Kappa and C&C. LONDON UK stocks rose for a second day, with oil companies gaining, before the Federal Reserve's decision on US interest rates and the pace of asset purchases.

Shire extended a record after an analyst said Allergan plans to make an offer for it. Zoopla Property Group climbed 4.6 per cent on its first day of trading in London. Premier Foods tumbled the most since November after forecasting a sales drop for its so-called grocery power brands.

The FTSE 100 fell 1.2 per cent last week after Bank of England governor Mark Carney said interest rates may increase sooner than expected and Britain pledged to give the central bank powers to rein in mortgage lending.

BP advanced 1.6 per cent to 514.4 pence, Shell gained 1.8 per cent to 2,533 pence. Separately, Shell said it will sell shares in a US pipeline business later this year. Allergan Bid Shire rose 3.4 per cent to 3,785 pence. Zoopla increased 4.6 per cent to 230 pence. Shares of the owner of real estate websites Zoopla and PrimeLocation priced at 220 pence each for a market value of 918.8 million pounds ($1.6 billion). EUROPE Boliden gained 3.5 per cent after Nordea Bank upgraded the copper and zinc producer.

WPP fell 2 per cent, leading a gauge of media-related companies lower. Vestas Wind Systems, the world's biggest maker of wind turbines, climbed 4.8 per cent to 278 kroner.

Rheinmetall advanced 2.1 per cent to €51.99. BMW rose 0.7 per cent to €91.41, paring earlier gains of as much as 1.5 per cent. The biggest maker of luxury vehicles plans to cut costs by €3 billion to €4 billion a year until 2020. NEW YORK US stocks fluctuated in early trading, following a three-day advance for the S&Poor's 500 Index, as a gain in FedEx offset a slump in ConAgra Foods before the latest monetary-policy decision from the Federal Reserve.

FedEx advanced 6.16 per cent as the operator of the world's largest cargo airline predicted a pickup in domestic and global economic growth. Adobe Systems jumped 5.54 per cent after posting revenue and profit that beat analysts' estimates.

ConAgra dropped 7.25 per cent as the company cut its fourth-quarter forecast. The S&P 500 rose less than 0.1 per cent to 1,956.98 in New York. The Dow Jones Industrial Average rose 98.13 points, or 0.58 per cent, to 16,906.62. The Russell 2000 Index of smaller companies dropped 0.55 per cent. – (Additional reporting by Bloomberg)