(Alliance News) - European stock markets opened lower Thursday, following up on the overnight red seen on Wall Street, driven by remarks from U.S. Federal Reserve Chairman Jerome Powell, who indicated the likelihood of further rate hikes due to persistently high inflation.

Powell also stressed that the process of bringing inflation back to the 2 percent target is far from complete. Investors are now focusing on the Bank of England's upcoming policy decision. It is widely expected that the bank will implement a rate increase, with the only uncertainty being whether it will raise interest rates by 25 basis points or take a more assertive stance by opting for a 50 basis point increase.

The FTSE Mib, therefore, is giving up 1.8 percent to 27,105.32.

In Europe, London's FTSE 100 is giving up 1.1 percent, Paris's CAC 40 is giving up 1.5 percent, and Frankfurt's DAX 40 is contracting 1.2 percent.

The Miid-Cap is down 1.0 percent to 42,134.36, the Small-Cap is down 0.6 percent to 26,990.50, and the Italy Growth is on par at 9,057.51.

On the main Piazza Affari index, Moncler opens by stepping back 1.7%, in its fourth session on the bearish side.

Eni--declining 1.0 percent--reported Wednesday that it purchased 5.4 million of its own shares between June 12 and June 16. The shares were taken over at an average price per share of EUR12.9828, for a total value of EUR70.3 million.

Pirelli, on the other hand, gives up 2.1 percent, positioning its snout toward the seventh session to close on the bearish side.

Saipem--down 1.8%--reported Wednesday that the two new credit lines totaling EUR860 million, which had been announced in February and whose effectiveness was subject to the issuance of a special decree by the Ministry of Economy and Finance and the subsequent stamping by the Court of Auditors, which took place in recent days, have come into effect.

On the MidCap, Brembo gives up 2.7 percent to EUR13.17. The company said Tuesday the board of directors resolved to submit to the shareholders' meeting called for July 27 a proposal to transfer the company's registered office to the Netherlands, adopting the legal form of an NV governed by Dutch law. Brembo's fiscal headquarters will remain in Italy and shares will continue to be listed on the Euronext Milan market of Borsa Italiana.

Saras, on the other hand, is taking a 2.5 percent step back after a 1.5 percent green on the eve of trading.

Mutuionline, on the other hand, is giving up 1.7 percent after eve's green with 0.5 percent.

Juventus Football Club - down 0.9% - announced that it has exercised its option right to acquire outright the sports performance of the player Arkadiusz Krystian Milik, from Olympique de Marseille, for a consideration of EUR6.3 million, payable in three fiscal years starting in July 2023.

Datalogic--down 0.8 percent--reported Wednesday that it had approved to increase by 500,000 shares the maximum number of treasury shares under the buy back program, for a maximum total of 1.1 million shares.

On the SmallCap, Softlab, among the few bullish performers, advances 4.9 percent after 4.7 percent.

Autostrade Meridionali, on the other hand, advances 2.6%, with new price at EUR11.90.

Pinifarina, on the other hand, gives up 3.5% after two bullish sessions, while Bioera steps back 3.3%.

Sesa - up 0.5 percent - on Thursday announced that it has signed an industrial partnership and acquisition agreement, through its wholly owned subsidiary Var Group Spa, of a 55 percent stake in Sangalli Tecnologie Srl, thus strengthening its expertise in the Digital Workspace and Collaboration sector.

Landi Renzo, on the other hand, is giving up 2.6 percent, after a 4.4 percent green light on the eve of trading.

Among SMEs, Imvest is giving up 3.5 percent, while Heath Italia is stepping back 7.2 percent.

CrowdFundme is instead giving up 3.2 percent, positioning itself for the fourth session to end on the bearish side.

At the top of the list, Deodato.Gallery advances 8.6 percent to EUR0.8340, rearing its head after eight sessions on the bearish side.

Among U.S. exchanges, on European night, the Dow Jones gave up 0.3 percent, the Nasdaq 1.2 percent, and the S&P gave up 0.5 percent.

Among currencies, the euro changed hands at USD1.0981 versus USD1.0952 in Wednesday's European stock close. In contrast, the pound is worth USD1.2744 from USD1.2733 last night.

Among commodities, Brent crude is worth USD76.95 per barrel versus USD77.03 per barrel at Wednesday's close. Gold, meanwhile, trades at USD1,927.84 an ounce from USD1,932.00 an ounce last night.

On Thursday's macroeconomic calendar, with the Chinese and Hong Kong stock exchanges closed for holidays, the ECB's Panetta speech is expected in the morning at 1115 CEST, while at 1300 CEST comes the Bank of England's expected decision on interest rates.

From the US, at 1430 CEST it is the turn of unemployment claims, at 1600 CEST that of existing home sales. At 1700 CEST the EIA report is released, followed half an hour later by the auction of 4- and 8-week Treasury bonds.

On the Italian corporate calendar, no events are scheduled.

By Maurizio Carta, Alliance News senior reporter

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