Global shares dip ahead of U.S. presidential debate, fiscal stimulus decision

European shares fell on Tuesday morning as investors awaited the first U.S. presidential debate as well as the conclusion for a fiscal stimulus package by U.S. Congress.

In Europe, the broader Euro STOXX 600 fell 0.4%, erasing gains from an earlier session, with indexes in Frankfurt, Paris, and London falling by 0.4%-0.5% each.

U.S shares were expected to open lower, with S&P 500 and Nasdaq futures to retreat into negative territory.

Meanwhile, Investors are weighing the potential impact on the U.S. economy of either the re-election of President Donald Trump or a victory for Democratic presidential nominee Joe Biden.

Many see a Biden victory increasing the chances of further fiscal stimulus to counter the economic damage from the coronavirus pandemic, judging such a scenario would be a boon for stocks.

The MSCI world equity index, which tracks shares in nearly 50 countries, was flat.

With the global economy currently dealing with the COVID-19 crisis, investors remain optimistic for a stimulus package which could help alleviate the economic damage done on the U.S. by the virus.