European stock indices are moving in a limited range today, ahead of the decisions of the Federal Reserve (the US Central Bank) and the European Central Bank to raise interest rates at their next meeting.
The European Stoxx 600 index rose 0.1% by 07:15 GMT, with banks and technology companies leading the index’s gains, up 1.2% and 0.8%, respectively.
Shares of oil and gas companies fell 0.9%, tracking the impact of oil prices.
The Federal Reserve is expected to raise interest rates by 25 basis points at its meeting tomorrow, “Wednesday”, but investors will still be waiting to see if this bank will indicate a stop raising interest rates after May.
HSBC Holdings jumped 3.9% after quarterly profit beat expectations and tripled, as higher interest rates around the world boosted bank income.
Electrolux rose 6.6% and was the biggest gainer on the index after reports that the Chinese Midea Group was close to a potential acquisition of the Swedish home appliance maker.
Meanwhile, BP shares fell 3%, after the company cut a share buyback plan, but made $5 billion in profits in the first quarter of 2023, up from the previous three months.
Investors are awaiting preliminary inflation figures in the eurozone for the month of April, due to be released at 09:00 GMT, for additional indications of the European Central Bank’s monetary tightening path.