After reversing a 4-day losing streak in the previous session, European stocks may once again edge lower on Wednesday, sparked by China fears and weakness in Asia.
On the economic front, consumer confidence data is due from the French statistical agency INSEE at 2:45 am ET. Economists expect the consumer confidence index to remain unchanged at minus 31 in January.
Meanwhile, top business leaders and politicians from around the world are coming to the Swiss mountain resort Davos for a five-day forum, which kicks off on Wednesday.
The official theme of this year's Davos is "Rethink, Redesign, Rebuild". Debate on how best to reform the global financial system is set to be the dominating agenda in the event - the 40th of its kind. Bankers and regulators are expected to clash on where to draw the line when it comes to financial reform.
In the forex market, the dollar strengthened against its European and U.K. counterparts in late Asian trading on Wednesday. The dollar is now worth 1.6118 against the pound and 1.4059 against the euro, compared to yesterday's close of 1.6150 and 1.4075, respectively.
Most Asian stocks traded in the red near two-month lows on Wednesday, hurt by lower commodity prices and lackluster cues from Wall Street overnight amid concerns about the pace of economic recovery.
Investors looked forward to the conclusion of a two-day policy meeting by the U.S Federal Reserve, for clues on the health of the world's largest economy.
Crude oil futures traded below $75 a barrel in Asian deals, as the dollar strengthened against the euro, reducing the investment appeal of commodities.
On Wall Street, stocks declined by modest margins on Tuesday, unable to hold onto their earlier gains despite some positive news on consumer confidence. The day's optimism was overshadowed by concerns regarding prospective policies to be presented by President Barack Obama in his State of the Union address on Wednesday. The Dow edged down by a modest 0.03%, the Nasdaq declined 0.32% and the S&P 500 fell 0.42%.
In domestic corporate news, General Motors confirmed having reached a binding agreement with Dutch carmaker Spyker Cars N.V. to sell its Saab Automobile AB for a consideration of US$74 million.
Credit Suisse Group agreed in a January 25 consent order to pay a fine of $1.37 million to the State of Texas for its role in the auction rate securities market, which collapsed in early 2008.
British Sky Broadcasting Group Plc said that it has won a five-year legal action against Electronic Data Systems for deceit, negligent misrepresentation and breach of contract.
Credit Agricole SA sold $1.5 billion of two-year floating-rate notes denominated in U.S. dollars, the Bloomberg reported.
Italian energy firm Eni SpA and Petroleos de Venezuela SA agreed to invest up to $18 billion to develop oil fields and build a refinery in South American country.
Italian auto maker Fiat SpA plans to halt production at its six production facilities for two weeks starting at the end of February.
Technip said it has been granted a lump sum contract, worth approximately EUR 21 million, by Lundin Britain for an augmentation pipeline at the Broom field in the U.K. North Sea.
The European markets rose for the first time in five days on Tuesday, as upbeat consumer confidence data from the U.S. and strong earnings report from Siemens and Novartis boosted investor sentiment.
The FTSEurofirst 300 index of pan-European blue chips closed 0.43% higher, while the narrower DJ Stoxx 50 index rose 0.64%. Around Europe, the U.K.'s FTSE 100 index rose 0.31%, France's CAC 40 index advanced 0.67% and Germany's DAX index added 0.67%.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.