European stocks gain ahead of Fed decision

As reported by Financial Times, European stocks edged higher on Wednesday as investors await the US central bank’s monetary policy decision.

London’s FTSE 100 opened 0.6 per cent higher, while the Euro Stoxx 600 rose 0.8 per cent, helped by the CAC 40 in Paris, which added 1 per cent. The gains come after stocks fell more than 1 per cent on Tuesday, marking a pause in the remarkable rally in global markets since mid-March, which has taken the US S&P 500 benchmark more than 40 per cent higher, recovering all of its losses for the year on Monday.

Investors are now looking to the Federal Reserve’s monetary policy decision later on.

Economists expect that the Fed will keep interest rates on hold at near-zero but have warned that any signs of hesitation over its willingness to dish out support measures could hit markets.

Reprint from Financial Times. All copyrights are reserved by the original author.