European Stocks Seen Opening Positive On Wednesday

(RTTNews) - Sentiment is expected to remain mildly positive in stock markets in Europe on Wednesday morning amidst a decline in global crude oil prices as well as an easing in sovereign bond yields in Europe. Gains could however be limited by the anticipation and anxiety ahead of the earnings release by NVIDIA, PCE-based inflation data release from the U.S. as well as the Federal Reserve's Jackson Hole summit over the weekend.

Wall Street had closed on a mildly positive note on Tuesday, helped by a rebound in technology stocks and the relief provided by declining crude oil prices. The Dow Jones Industrial Average added 0.30 percent to finish trading at 53,577.40. The S&P 500 gained 0.32 percent to finish trading at 7,677.28. The tech-heavy Nasdaq Composite rallied 0.66 percent to close trading at 26,151.30.

Major European markets had finished trading on a mostly positive note on Tuesday amidst easing fears of further escalation in the U.S.-Iran conflict. The decline in energy prices and fading fears of inflationary pressures also supported sentiment. Germany's DAX gained 0.61 percent to end trading at 26,266.14. Switzerland's SMI strengthened 0.54 percent to close trading at 14,525.29. U.K.'s FTSE 100 rallied 0.29 percent to finish trading at 10,886.16. The pan-European Stoxx-50 added 0.15 percent to finish trading at 6,457.75. France's CAC 40 however lost 0.16 percent to close at 8,439.20.

Current indications from the European stock futures indicate a positive sentiment. The FTSE 100 Futures (Sep) has rallied 0.23 percent from the flatline. The pan-European Stoxx 50 Futures (Sep) is trading 0.16 percent above the flatline. The CAC 40 Futures (Sep) has gained 0.21 percent. The SMI Futures (Sep) is trading 0.01 percent above the flatline. The DAX Futures (Sep) has however slipped 0.06 percent from the flatline.

American stock futures are directionless. The US 30 (DJIA) is trading 0.02 percent higher, whereas the US500 (S&P 500) is trading 0.06 percent below the flatline.

Amidst anticipation ahead of NVIDIA's earnings report, Asian stock markets are trading on a mixed note. The decline in crude oil prices supported sentiment. South Korea's KOSPI has jumped 1.4 percent amidst gains in semiconductor stocks. Hong Kong's Hang Seng has gained 0.71 percent. Japan's Nikkei 225 has added 0.67 percent. China's Shanghai Composite has rallied 0.55 percent. India's Nifty 50 is trading 0.05 percent below the flatline. Australia's S&P ASX 200 has lost 0.31 percent. DJ New Zealand has shed 0.59 percent.

Amidst anxiety ahead of the release of PCE-based inflation readings from the U.S. as well as the Federal Reserve's Jackson Hole Summit, the U.S. dollar is trading in a rangebound manner. The Dollar Index, a measure of the U.S. dollar's strength relative to six currencies, is currently trading at 98.98, edging up 0.07 percent from 98.92 at the previous close.

The EUR/USD pair has slipped 0.08 percent to trade at 1.1666 whereas the GBP/USD pair has dropped 0.10 percent to trade at 1.3636. The USD/CHF pair has rallied 0.17 percent to trade at 0.8031. The EUR/GBP pair is trading 0.02 percent higher at 0.8556. The EUR/JPY pair has slipped 0.17 percent to 185.48, and the GBP/JPY pair has dropped 0.23 percent to 216.78.

Both the crude oil benchmarks have retreated amidst hopes of reopening of the Strait of Hormuz. Brent Crude Futures for November settlement is trading at $85.75, around 1.7 percent lower than $87.27 at the previous close. WTI Crude Futures for October settlement is currently trading at $80.71, having slipped 2 percent from $82.36 at the previous close.

Falling crude oil prices have eased concerns over inflation, curtailing fears of rate hikes from the Federal Reserve. Gold futures for December settlement have rallied 0.19 percent from the previous closing level of $4,694.50. It is currently trading at $4,703.29.

The economic data releases due from the region include the Confederation of British Industry's Distributive Trades report for August and the Economic Sentiment Index for August from Switzerland.

Major updates to earnings due from the region on Wednesday include NVIDIA Corporation, CrowdStrike Holdings, ANY, Synopsys, Sydbank, Prudential, Ambu, Per Aarsleff, Unibail-Rodamco-Westfield as well as Eiffage.