were higher on Wednesday. The Reserve Bank of New Zealand kept interest rates unchanged despite expectations of a hike. The bank announced Wednesday that it would keep its monetary settings unchanged, leaving the official cash rate at 0.25%. Analysts had expected that New Zealand could be the first advanced economy in Asia-Pacific to raise interest rates in the pandemic era of easy monetary policy.
The Federal Open Market Committee publishes its meeting minutes from its July meeting on Wednesday at 2 p.m. ET. Market participants will be looking for clues about the central bank's stance on inflation and when it could suspend its bond buying program. Back in Europe, market participants are likely to closely monitor economic data. U.K. inflation rate data for July is scheduled at 7 a.m. London time, with euro area inflation rate figures for last month expected later in the session.
The ongoing coronavirus pandemic and spread of the highly transmissible delta Covid-19 variant has rattled market confidence. Investors are also monitoring the potential geopolitical implications following the—CNBC's Eustance Huang and Maggie Fitzgerald contributed to this article.
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