European stocks cut a bullish wave ahead of US Central Bank ‎meeting decision

A two-day recovery in European stocks stopped today, Wednesday, as investors await the outcome of the monetary policy meeting of the Federal Reserve (the US central bank), after signs of problems in the banking sector raised hopes that the bank would follow a moderate approach in raising interest rates.

By 0811 GMT, the European Stoxx 600 index recorded slight gains after a two-day recovery, supported by a rise in bank stocks after taking a series of support measures to stabilize the sector.

According to “Reuters”, the European banks index rose 0.2 percent, after a five percent jump in the past two sessions, when sentiment rose thanks to the Swiss bank UBS’ acquisition of Credit Suisse and the coordinated measures taken by central banks to enhance liquidity.

The US central bank is expected to raise interest rates by a quarter of a percentage point later on Wednesday.

Ubisoft shares jumped 4.7 percent after HSBC Bank modified its advice on the French video game company’s stock to “buy”.