FX.co ★ European Stocks Set for a Flat Opening

European equity markets were set for a broadly flat open on Wednesday, as investors weighed dovish comments from a senior Federal Reserve official and awaited key US inflation data. New York Fed President John Williams signaled that while one additional rate increase may be appropriate this year, further monetary tightening is unlikely to be needed in 2027.

In Europe, focus will be on German wholesale price data and Spanish consumer inflation figures, as well as fresh remarks from ECB President Christine Lagarde. On Tuesday, Lagarde stated that elevated inflation in the euro area—driven primarily by higher energy prices—had not yet filtered through to the wider economy.

In corporate news, Dutch chipmaker ASML warned it will be unable to fully meet demand over the next two years, adding to concerns about the durability of the current AI-driven investment boom. In premarket trade, Euro Stoxx 50 futures were hovering around the flatline.