European shares fell early on Friday, tracking Wall Street's Thursday losses, after U.S. Federal Reserve chairman Ben Bernanke gave no indications of new stimulus measures.
At 3:21 a.m. EDT, the FTSEurofirst 300 index of top European shares was down 0.2 percent at 938.07 points, after rising 0.9 percent in the previous session.
President Barack Obama challenged Congress on Thursday to enact a $447 billion package of tax cuts and new spending to revive a stalled job market, though traders and strategists said it would only have a limited effect on investors' confidence, especially as it may not be passed.
Stocks fell across the board, with the STOXX Europe 600 Basic Resources Index .SXPP losing percent as copper prices fell.
Investors are holding back because they can't read the market. There isn't any reason to commit until you can see credible policies, Justin Urquhart Stewart, director at Seven Investment Management, told Reuters.
Bernanke was never going to say anything. He made it clear at Jackson Hole he was pushing it back to the politicians. Obama has come up with this stimulus package. We now have to digest what effect this will have, assuming it is passed.