Investing.com - European markets opened higher on Wednesday, as investors turned to a fresh batch of corporate earnings reports, as well as the Federal Reserve's monthly policy decision due later in the day.
The EURO STOXX 50 rose 0.22%, France’s CAC 40 inched 0.01% higher, while Germany’s DAX 30 edged up 0.09% and Spain's IBEX 35 was up 0.25% by 04:30 a.m. ET (08:30 GMT).
Later Wednesay, the Fed was expected to leave interest rates unchanged at the conclusion of its two-day policy meeting, but investors were waiting for any indications that it will resume raising rates next month as expected, and the timing of any rate hikes in 2018.
In Europe, Spanish political tensions seemed to ease. Catalonia’s deposed president, Carles Puigdemont, promised to respect the results of December’s snap regional elections and said he would return to Spain immediately if a fair judicial process were guaranteed.
Puigdemont, who could face charges of rebellion, sedition and misuse of public funds over his push for independence, flew to Brussels hours before Spain’s attorney general announced the possible charges on Monday.
Financial stocks were mixed, as French lenders Societe Generale (PA:SOGN) gained 0.67% and BNP Paribas (PA:BNPP) slid 0.30% in France, while Germany's Commerzbank (DE:CBKG) rallied 1.23% and Deutsche Bank (DE:DBKGn) fell 0.29%.
Among peripheral lenders, Unicredit (MI:CRDI) climbed 0.55% and Intesa Sanpaolo (MI:ISP) dipped 0.07%, while Spain's Banco Santander (MC:SAN) and BBVA (MC:BBVA) advanced 0.69% and 0.76% respectively.
Elsewhere, Bayer (DE:BAYGN) shares rallied 1.07% amid reports the company is considering legal action regarding plans by doctors in the north of England to defy official guidance by using a cancer medicine as a cheap eye drug.
Novartis AG (SIX:NOVN), up 0.61%, also expressed concerns.
On the downside, Deutsche Telekom (DE:DTEGn) plummeted 2.89% after news it and SoftBank Group Corp reached an impasse in their talks to merge Sprint Corp and T-Mobile US Inc.
In London, FTSE 100 gained 0.35%, boosted by Paddy Power Betfair PLC (LON:PPB), whose shares surged 4.15% after the betting company reported an increase in third-quarter revenues and underlying profits. The strong results prompting the group to raise its full year underlying earnings outlook.
Mining stocks added to gains on the commodity-heavy index. Shares in Glencore (LON:GLEN) advanced 2.15% and Antofagasta (LON:ANTO) jumped 2.57%, whilr rival company Anglo American (LON:AAL) rallied 2.64%.
Meanwhile, Next PLC (LON:NXT) was one of the worst performers on the index, with shares down 7.38% after the company said its sales performance has remained “extremely volatile” and highly dependent on the weather.
However, the group lifted its full year profit guidance.
In the financial sector, stocks were mixed. Lloyds Banking (LON:LLOY) edged up 0.12% and the Royal Bank of Scotland (LON:RBS) rose 0.21%, while HSBC Holdings (LON:HSBA) slipped 0.10% and Barclays (LON:BARC) declined 0.30%.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.38% gain, S&P 500 futures signaled a 0.29% rise, while the Nasdaq 100 futures indicated a 0.41% increase.