European equity markets expected lower ahead of Fed announcements. The Eurostoxx 50 opens at 4,296.22 points (+0.37%), the CAC 40 at 6,927.03 points (+0.49%), the DAX 40 at 15,954.45 points (+0.94% ), the FTSE 100 at 7,274.81 points (-0.19%), the SMI at 12,321.00 points (+0.86%), the AEX at 812.29 points (+0.07%), the BEL 20 at 4,332.92 points (+0.62%), IBEX 35 at 9,105.70 points (-0.84%), DJIA at 36,052.63 points (+0.39%), Nasdaq at 15,649.60 points (+0.34%), the S&P 500 at 4,630.65 points (+0.37%) and the Nikkei 225 at 29,520.90 points (-0.43%).

With regard to exchange rates, the variation compared to the close in New York indicates that the EUR/USD is displayed at 1.1581 (+0.01%), the EUR/JPY at 131.86 (-0.07%), USD/JPY at 113.87 (-0.08%).

European equity markets are expected to open slightly lower on Wednesday in a climate of caution ahead of monetary policy announcements from the Federal Reserve (Fed). Around 7:40 a.m., the CAC 40 futures contract lost 2.6 points, or 0.04%, according to data from broker IG Markets. The DAX 40 contract was down 8.5 points, or 0.05%, and the FTSE 100 contract was down 9.5 points, or 0.1%. Wall Street continued its series of records, reinforced by good corporate results. The Dow Jones index (DJIA) rose for the first time in its history above the 36,000 point mark at the close, gaining 0.4%, at 36,052.63 points. The S&P 500 index gained 0.4% to 4,630.65 points. The Nasdaq Composite advanced 0.3% to 15,649.60 points. The Dow Jones, S&P 500 and Nasdaq Composite indices had all already closed at new all-time highs on Monday.

Yields on US Treasury bonds fell on Tuesday as investors braced for announcements from the Federal Reserve. The two-year bond yield fell at its biggest drop since March 2020, ending at 0.450%. The performance of the ten-year benchmark title ended at 1.553%, against 1.562% on Monday evening.

The euro changed little Wednesday morning against the dollar. According to BMO Capital Markets, the British pound may not see a major change after the Bank of England (BOE) decision on Thursday.

Oil futures fell Wednesday morning as traders await a meeting of the Organization of the Petroleum Exporting Countries (OPEC) and its allies on Thursday amid growing pressure for a steeper rise than expected from production. By 7:30 a.m., the January Brent contract was down 82 cents to $83.90 a barrel. The December contract on light sweet crude (WTI) listed on the Nymex yielded 1.18 dollars, at 82.73 dollars a barrel. Fitch anticipates an average price of 72 dollars per barrel in 2022 and 73 dollars per barrel in 2023 for Brent. Fitch expects prices to start 2022 around $80 a barrel, supported by near-term supply issues and energy shortages.