European stocks climb at open, before rate decisions

European stock markets advanced at the start of trading on Monday, with all eyes on central banks this week and their latest decisions over interest rates, AFP reported.

London’s benchmark FTSE 100 index rose 0.4 percent to 7,592.36 points.

In the eurozone, Frankfurt’s DAX index grew 0.6 percent to 16,048.20 points and the Paris CAC 40 won 0.6 percent to 7,255.13.

The US Federal Reserve is widely expected to pause its campaign of interest rate increases on Wednesday to give policymakers more time to assess the economic impact of existing hikes and recent banking stresses.

A day later, the European Central Bank will almost certainly deliver another interest rate hike, pressing ahead with its fight against inflation even as the eurozone slides into a recession, according to analysts.

Policy announcements from the central banks of Japan and China are also due this week, after Canada and Australia unveiled rate hikes last week.