On Wednesday European stocks are expected to open higher as traders digest a slew of new corporate earnings. London’s FTSE is seen opening 41 points higher at 6,570, Germany’s DAX 82 points higher at 14,085, France’s CAC 40 up 29 points at 5,712 and Italy’s FTSE MIB up 117 points at 23,427, according to IG.
A higher open in Europe would buck a more mixed trend seen elsewhere overnight. U.S. stocks rose only slightly in overnight trade following the regular session that snapped a six-day winning streak on Wall Street. Despite the pause in the rally, better-than-expected earnings from Twitter, Lyft, Cisco Systems, Mattel and Yelp boosted sentiment.
Shares in Asia-Pacific were also mixed in Wednesday trade after the winning streak on Wall Street petered out. Meanwhile, investors are also monitoring process on a Covid-19 stimulus package stateside. House Democrats on Monday unveiled the details of a relief proposal that included $1,400 direct checks with faster phase-outs than previous bills.
Investors are also keeping tabs on impeachment proceedings against former President Donald Trump. The second impeachment trial against Trump kicked off Tuesday with a round of debate over whether the trial is constitutional. It’s a busy day for earnings in Europe with Air Liquide, Metro, Thyssenkrupp, Siemens Energy, Heineken and Equinor all due to report. Societe Generale reported early Wednesday morning, posting a net profit of 470 million euros ($570 million) for the fourth quarter of 2020.