European Central Bank (ECB) President Christine Lagarde delivers a speech during the presentation of the central bank’s annual report to the European Parliament in Strasbourg, eastern France, on February 26, 2024.
Frédéric Florin | AFP | Getty Images
European stocks were higher on Wednesday as investors in the region looked ahead to the next meeting of the European Central Bank (ECB).
The pan-European Stoxx 600 index was up 0.5% as of 10:20 a.m. in London, with all major exchanges and most sectors rising. Technology stocks led the gains, rising 1.6%, while bank stocks fell 0.6%.
Inditex, the parent company of Zara, saw its share price rise 4.3%, jumping to the top of the benchmark index after sales grew 7% in the first quarter. Sales hit 8.2 billion euros ($8.9 billion) in the three months to April explain A London Stock Exchange poll showed on Wednesday that was largely in line with expectations.
Eurozone business activity grew for a third consecutive month in May, with final forecast for the region’s composite PMI show Wednesday. Growth in services and manufacturing was steady in Germany, Spain and Italy, but fell slightly in France during the period.
corresponding data British data showed business activity also expanded in May, but at a slower pace than in April.
The European Central Bank is widely expected to cut interest rates for the first time since 2019 when policy makers meet on Thursday, but investors will be closely watching whether slightly higher-than-expected euro zone inflation data released on Friday will influence the central bank’s decision.
In other news, Asia-Pacific markets were mixed overnight as investors assessed the election results after Indian Prime Minister Narendra Modi’s Bharatiya Janata Party failed to win an absolute majority in the lower house of parliament.
Still, Modi will be in power for a third time after the Bharatiya Janata Party-led National Democratic Alliance 294 seats lockedmore than the 272 people needed by the coalition to form a government.
U.S. stock futures were little changed late Tuesday as investors braced for private payrolls data, which economists polled by Dow Jones expect to show private employers added 175,000 jobs in May.
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