Portugal Colonial - European stocks stutter before Bank of England rate call

London's benchmark FTSE 100 index opened with gains but turned flat ahead of the BoE's rate call at 1100 GMT.

In mixed eurozone deals, Frankfurt rose but Paris fell with many traders away for the Ascension Day holiday in France.

In Asia, traders also struggled to get a recent rally back on course following Wednesday's tepid lead from Wall Street.

The Bank of England is set Thursday to keep its main interest rate at a 16-year high, resisting a cut as UK inflation cools at a slower pace than forecast.

The British central bank is widely expected to maintain borrowing costs at 5.25 percent for a sixth meeting in a row, mirroring a wait-and-see approach by the US Federal Reserve and European Central Bank as global inflation also eases.

- Markets freeze -

"It's common to see markets freeze ahead of an interest rate decision and that's exactly what's happened in the UK," said AJ Bell investment director Russ Mould.

"While the Bank of England isn't expected to cut..., investors are waiting nervously for the accompanying commentary."

London's FTSE 100 stocks index had chalked up another all-time high Wednesday on hope BoE officials will flag their intention to begin reducing borrowing costs.

That comes after Sweden's central bank on Wednesday reduced borrowing costs for the first time in eight years and cited more were in the pipeline.

The Riksbank decision was announced nearly two months after the Swiss National Bank became the first major Western central bank to move since a global tightening campaign to fight inflation fuelled by Covid recovery and the Ukraine war.

Traders hoping for Fed cuts have been on a rollercoaster ride this year as a string of forecast-beating inflation readings have forced them to chip away at their expectations.

The consensus is now about two cuts by January, against six estimated at the start of 2024.

Oil prices ticked higher as investors keep tabs on efforts for a ceasefire in the Middle East, even as Israel presses ahead with an assault on Rafah in southern Gaza.

- Key figures around 1000 GMT -

London - FTSE 100: FLAT at 8,354.73 points

Frankfurt - DAX: UP 0.3 percent at 18,544.88

Paris - CAC 40: DOWN 0.1 percent at 8,120.63

EURO STOXX 50: DOWN 0.4 percent at 5,015.76

Tokyo - Nikkei 225: DOWN 0.3 percent at 38,073.98 (close)

Hong Kong - Hang Seng Index: UP 1.2 percent at 18,537.81 (close)

Shanghai - Composite: UP 0.8 percent at 3,154.32 (close)

New York - Dow: UP 0.4 percent at 39,056.39 (close)

Euro/dollar: DOWN at $1.0729 from $1.0748 on Wednesday

Dollar/yen: UP at 155.88 yen from 155.63 yen

Pound/dollar: DOWN at $1.2473 from $1.2495

Euro/pound: UP at 86.01 from 86.00 pence

West Texas Intermediate: UP 0.6 percent at $79.45 per barrel

Brent North Sea Crude: UP 0.5 percent at $84.02 per barrel

O.Salvador--PC