(Alliance News) - European stock markets opened trading in the third session of the week down, following the mixed U.S. session after consumer confidence data and "hawkish" speeches by several Fed officials fueled expectations that interest rates will remain high for longer than expected.

In Europe, traders will be watching German inflation data, while the important U.S. PCE inflation figure, the Fed's favorite indicator, is due later this week.

The International Monetary Fund expects China's economy to grow 5 percent this year, raising its forecast from 4.6 percent a few weeks ago to reflect a strong expansion in early 2024 and further government support.

In Europe, by contrast, investors are discounting in advance the European Central Bank's rate cut for its June meeting, which has also been confirmed on several occasions by Frankfurt's top management.

Thus, the FTSE Mib is giving up 0.4 percent to 34,506.29.

In Europe, Paris' CAC 40 is given down 27.50 points, London's FTSE 100 is expected down 31.80 points while Frankfurt's DAX 40 is expected to be in the red by 73.00 points.

Among the smaller lists, the Mid-Cap is giving up 0.4 percent to 47,954.28, the Small-Cap is giving up 0.2 percent to 29,229.09 while Italy Growth is just below par at 8,254.70.

On the main list in Piazza Affari, the banacrio sector is off to a good start, with FinecoBank posting a plus 0.7% at EUR15.04 per share after a 0.7% negative balance on the eve of trading.

Banca Popolare di Sondrio -- in the green by 0.6 percent -- announced Tuesday that it had placed a EUR500 million, six-year senior preferred green bond with an option for early redemption on June 4, 2029.

On a negative note, red for Monte dei Paschi, which posted minus 1.1 percent. The Milan court ordered prosecutors to investigate for aggravated fraud against the state over the EUR5.4 billion precautionary recapitalization that brought the Treasury into the capital in 2017.

Campari, meanwhile, is giving up 0.7 percent, in its third bearish session.

On the MidCap, Comer Industries is advancing 1.4 percent to EUR29.90 per share, on its third bullish candle.

By contrast, d'Amico is up 1.2 percent, rearing its head after two sessions in the red.

On a negative note Industre de Nora is giving up 1.8 percent to EUR13.28 per share, after two sessions in the green.

Ariston Holding, on the other hand, opened down 1.1 percent, with the stock losing about 23 percent of market cap since the beginning of the year.

On the SmallCap, strength on Softlab, with purchases sending the stock into a volatility auction after a 43% rise. The company closed with a loss of EUR400,000 compared to a profit of EUR3.2 million in FY 2022. Revenues earned in FY2023, on the other hand, were EUR24 million, up slightly from EUR23.7 million in FY2022.

Giglio Group, on the other hand, is marking a 2.0 percent rise, following a 2.4 percent red note in the previous session.

CSP International, on the other hand, is giving up 3.9 percent, priced at EUR3.9 per share, after eve's green of 0.7 percent.

In contrast, Newlat Food is contracting 4.6 percent, subject to profit taking after three sessions of gains and an aggregate of about 24 percent.

Among SMEs, Espe advances 6.4 percent. The company reported Wednesday that it closed fiscal year 2023 with a profit of EUR1.6 million, up from EUR200,000 a year earlier. Value of production rises to EUR59.4 million from EUR45.1 million as of Dec. 31, 2022 while sales revenue is EUR42.7 million from EUR36.5 million in 2022.

Allcore -- up 4.7 percent -- on Tuesday reported that the board approved the group's consolidated revenue figures as of March 31. These amounted to EUR11.4 million, up 18 percent from March 31, 2023.

The board of Sciuker Frames - down 5.5 percent - announced on Wednesday that it had approved the financial report for 2023, closing with a consolidated net loss of EUR2.5 million, noting a decrease of EUR23.1 million compared to the consolidated net profit that amounted to EUR20.7 million as of December 31, 2022.

Among currencies, the euro changed hands at USD1.0849 from USD1.0876 on Wednesday's European stock close while the pound was worth USD1.2754 from USD1.2778 on Wednesday evening.

Among commodities, Brent crude is trading at USD84.41 per barrel from USD83.86 per barrel on Wednesday. Gold, on the other hand, trades at USD2,353.38 an ounce from USD2,359.12 an ounce on Tuesday evening.

In the States, the Dow Jones gave up 0.6 percent, the S&P closed just above par, and the Nasdaq rose 0.6 percent.

Among Asian exchanges, the Nikkei closed down 0.8 percent, the Hang Seng is giving up 1.8 percent, and the Shanghai Composite closed just above the parity line.

On Wednesday's macroeconomic calendar,at 1110 CEST, from Italy, the six-month BOT auction is scheduled.

At 1300 CEST, from the US, the mortgage market report will be due. At 1945 CEST, Williams of the FOMC will give a speech while at 2230 CEST, the weekly oil stocks report will be released.

On the corporate calendar in Piazza Affari, Ecosuntek and Illa's accounts are expected.

By Maurizio Carta, Alliance News reporter

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