Traders work at the New York Stock Exchange on Feb. 10, 2026.
NYSE
LONDON — European stocks are expected to open higher on Wednesday as investors monitor global market developments.
The U.K.’s FTSE index is seen opening 0.2% higher, Germany’s DAX up 0.3%, France’s CAC 40 up 0.4% and Italy’s FTSE MIB up 0.3%, according to data from IG.
The U.K. inflation rate fell to 3% in January, according to the latest figures from the Office for National Statistics. Economists polled by Reuters had forecast the consumer price index to fall to 3%, down from 3.4% in the twelve months to December.
“The UK has experienced higher and more prolonged inflation compared to the US or eurozone area, but today’s data shows the tide is changing,” David Smith, portfolio manager at Henderson High Income Trust plc, said.
“Inflation is likely to drop to 2% by the end of the year if not earlier, opening the door to further interest rate cuts by the Bank of England,” Smith added.
The British Pound was flat against the dollar following the as-expected data, at $1.3562. British government bond yields, known as gilts, also held steady.
Sterling dipped and British government bond yields fell during Tuesday’s trading session after data showed the U.K.’s unemployment rate rose to a five-year high, while wage growth slowed.
Earnings on Wednesday come from Glencore, BAE Systems, Orange and Euronext.
Asian stocks pushed higher overnight in holiday-thinned trade with markets in mainland China, Hong Kong, Singapore, Taiwan and South Korea among those closed for Lunar New Year holidays.
U.S. stock futures were near the flatline in overnight trading after a tepid session on Tuesday. Traders on Wednesday will be watching for the Federal Reserve minutes from the policymakers’ January meeting.
The next big catalyst this week, however, will likely be the personal consumption expenditures price index reading that’s due on Friday. The PCE, the Fed’s preferred inflation gauge, will give further insight into the state of the economy.
— CNBC’s Pia Singh contributed to this market report.