European stocks fall for third day ahead of Fed's US economic outlook

European stocks fell on Wednesday, to deepen losses for the third straight day, and pull back further from 3-month highs on profit-taking, amid anticipation for the US Federal Reserve's first economic forecasts after the US economy was closed in mid-March due to the coronavirus outbreak.

The Stoxx Europe 600 index fell 0.3% as of 11:16 GMT, after closing lower by 1.2% yesterday, on profit-taking after hitting the highest level in 3 months at 375.4 points.

The pan European index opened lower today, extending losses for the third day, with most European markets and sectors seeing red today.

The travel and leisure sector saw the largest losses in Europe today, with a drop by 1.5%, on renewed concerns about sharp losses in the second quarter.

Later today, the Federal Reserve will conclude its two-day policy meeting, and will unveil its first economic outlook after the US economy was closed in mid-March due to the coronavirus outbreak.

The US monetary policy statement and interest rate decision will be unveiled at 18:00 GMT, and Fed Chairman Jerome Powell will deliver a speech at 18:30 GMT.

Investors are also anticipating insight on the US path of policies and stimulus plans in the near-term to ease the coronavirus impact.

S&P 500 futures fell 0.3%, after the index closed lower by 0.8% yesterday at Wall Street, ending its 2-day rally on profit taking from a 4-month low.

Back to Europe, the Euro Stoxx 50 index fell 0.4%, France's CAC 40 dipped 0.4%, Germany's DAX fell 0.5%, and the UK's FTSE 100 fell 0.3%.