Investing.com - European stocks were higher on Wednesday, as investors awaited the outcome of the Federal Reserve's two-day policy meeting, as well as an upcoming vote on Scottish independence.
During European morning trade, the DJ Euro Stoxx 50 gained 0.46%, France’s CAC 40 advanced 0.52%, while Germany’s DAX climbed 0.52%.
Equity markets came under pressure recently amid expectations for an early hike in U.S. interest rates this week.
The Fed was expected to cut its asset purchase program by another $10 billion at its upcoming policy meeting on Wednesday, which would keep it on track for winding up the program in October, and to start raising interest rates sometime in mid-2015.
Sentiment found some support following reports the People's Bank of China will provide liquidity injections for its five largest banks.
Financial stocks were broadly higher, as French lender BNP Paribas (PARIS:BNPP) climbed 0.52%, while Germany's Deutsche Bank (XETRA:DBKGn) and Commerzbank (XETRA:CBKG) rose 0.34% and 1.64%.
Among peripheral lenders, Italy's Unicredit (MILAN:CRDI) and Intesa Sanpaolo (MILAN:ISP) gained 0.76% and 0.87% respectively, while Spanish banks Banco Santander (MADRID:SAN) and BBVA (MADRID:BBVA) added 0.07% and 0.67%.
Auto makers added to gains, after the European Automobile Manufacturers’ Association reported that car sales rose for the 12th consecutive month. German groups Daimler (XETRA:DAIGn) and BMW (XETRA:BMWG) advanced 0.60% and 0.90% respectively, while Italian rival Fiat (MILAN:FIA) rose 0.38%.
Elsewhere, Orpea (PARIS:ORP) dropped 0.45% after the French care-home operator posted a 19% increase in first-half pretax profit.
In London, FTSE 100 added 0.26%, supported by gains in the financial sector.
Shares in Barclays (LONDON:BARC) climbed 0.47% and Lloyds Banking (LONDON:LLOY) advanced 0.87%, while the Royal Bank of Scotland (LONDON:RBS) rallied 1.25%. HSBC Holdings (LONDON:HSBA) underperformed however, down 0.17%.
Bloomberg earlier reported that Barclays has been accused by New York Attorney General Eric Schneiderman of hiding the role of high-frequency traders even after the bank said it had parted ways with clients who engaged in suspect activity.
In the mining sector, stocks were mostly lower. Rio Tinto (LONDON:RIO) edged down 0.11% and Bhp Billiton (LONDON:BLT) saw shares slide 0.33%, while rivals Fresnillo (LONDON:FRES) and Vedanta Resources (LONDON:VED) plummeted 1.11% and 1.32% respectively.
In the U.S., equity markets pointed to a steady open. The Dow 30 futures pointed to an 0.02% uptick, S&P 500 futures signaled a 0.01% dip, while the NASDAQ 100 futures indicated a 0.05% loss.
Later in the day, the euro zone was to release revised data on consumer price inflation.