European bourses tracked moderately higher midday Wednesday as traders weighed overnight gains in Hong Kong and Shanghai, and the pending expected rate cut from the US Federal Reserve. Oil and bank stocks led gainers, while food issues lagged. Investors also eyed Wall Street futures signaling green. European Central Bank Executive Board Member Philip Lane stated that Europe's disinflation process is "well on track" to reach the ECB's 2% annual inflation target by 2026, as reported by Bloomberg, citing a Market News International report. The pan-continental Stoxx Europe 600 Index was up 0.3% mid-session. The Stoxx Europe 600 Technology Index increased by 0.7%, while the Stoxx 600 Banks Index gained 1.2%. The Stoxx Europe 600 Oil and Gas Index rose by 0.9%, but the Stoxx 600 Europe Food and Beverage Index faced a decline of 0.6%. The REITE, a European REIT index, rose by 0.7%, and the Stoxx Europe 600 Retail Index inclined by 0.3%. On national market indexes, Germany's DAX was up 0.4%, the FTSE 100 in London was up 0.2%, the CAC 40 in Paris saw a 0.4% increase, and Spain's IBEX 35 gained 0.7%. Yields on benchmark 10-year German bonds were higher, nearing 2.25%. Front-month North Sea Brent crude oil futures were up 0.5% to $73.58 per barrel. The Euro Stoxx 50 volatility index decreased by 3.1% to 14.91, suggesting below-average volatility for European stock markets in the next 30 days, a positive signal.

A reading above 20 indicates choppier markets ahead, while below 20 suggests calmer exchanges..