LONDON – European equities are expected to open lower ahead of the European Central Bank’s latest interest rate decision on Thursday.
The UK FTSE index is down 32 points to 7,554, Germany’s DAX is down 75 points to 14,360, France’s CAC 40 is down 35 points to 6,403 and Italy’s FTSE MIB is down 156 points at 24,062, according to IG data.
European markets will focus on the next monetary policy meeting and the ECB decision on Thursday. The central bank is expected to confirm its intention to raise interest rates next month. The move comes after 19-euro eurozone inflation hit an all-time high in May.
Markets will be waiting for ECB President Christine Lagarde’s press conference after the meeting to assess how aggressively the bank could act.
Shares in Asia and the Pacific were mixed in trading on Thursday, with investors watching the market’s reaction to China’s May trading data, which outperformed expectations. Meanwhile, US stock futures remained stable in trading on Wednesday night after the main averages ended the regular session and US Treasury yields rose.
On Wednesday, investors continued to look for signs of a slowdown in economic growth ahead of reading the May consumer price index, which is scheduled for Friday. The data is expected to be slightly below the April figures and could indicate that inflation has peaked.
There are no big gains or data releases on Thursday.
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