The pan-European Stoxx 600 rose 0.3% at the beginning of trading, with banks adding 1.9% to lead profits while oil and gas shares fell 1.9%. Positive trade in regional markets on Wednesday came amid volatile trading in Europe, Asia and the US, with expectations that the Fed and other central banks will resort to aggressive interest rate hikes to reduce rampant inflation. The Federal Open Market Committee will conclude its two-day meeting on Wednesday and is expected to take aggressive measures on interest rates. The US consumer price index rose 8.6% year on year in May, its highest annual rise since 1981. Traders were initially looking to raise interest rates by 50 basis points, but in light of Friday’s red inflation, the market is now pricing a more than 95% chance of raising 75 basis points, the highest since 1994, according to its FedWatch tool. CME Group. Shares in Asia-Pacific were mixed with markets also reacting to the latest Chinese economic data, including industrial production and retail sales for May. US stock futures rose slightly at the start of the trading session as investors eagerly awaited the Fed’s decision. The European Central Bank (ECB) will hold an unscheduled monetary policy meeting on Wednesday, with bond yields rising for many governments across the eurozone. In terms of individual stock price movements, the Italian FinecoBank climbed 8% to lead the Stoxx 600, while the Swedish healthcare company Getinge fell more than 16% after revising its outlook for 2022.
