LONDON – European stocks are expected to open higher on Thursday, based on gains in the previous session.
The UK FTSE index is set to open 71 points higher at 7,166, Germany’s DAX 91 points higher at 12,683, France’s CAC 40 up 51 points at 5,956, and Italy’s FTSE MIB 137 points higher at 20,955, according to data from IG.
European markets are set to build on gains seen on Wednesday, with the pan-European Stoxx 600 opening up 1[ads1].7%. Technology, media and retail stocks climbed above 3% to lead the rise as almost all sectors and major stock exchanges ended in positive territory.
Investors will digest the latest Fed protocols, released on Wednesday, in which central bank officials reiterated a tough stance on inflation, saying a new move of 50 or 75 basis points “would probably be appropriate” at the 26-27 meeting. July.
Federal Reserve officials acknowledged that a “more restrictive stance” in policy may be appropriate if inflation does not slow, even if it slows the economy, the minutes of the meeting said.
“Participants acknowledged that tightening policies could slow the pace of economic growth for some time, but they saw a return to inflation of 2 percent as crucial to achieving maximum employment on a sustained basis,” the document said.
Overnight, the Asia-Pacific markets were largely higher on Thursday, while US stock futures were flat on Thursday morning as investors digested the latest minutes of the Fed meeting.
The European Central Bank will publish the minutes of its last meeting on Thursday while the group of 20 foreign ministers meets in Bali.
Sainsburys holds an annual general meeting and data releases include German industrial production figures for May.
– CNBC’s Jeff Cox contributed to this market report.