China bounce leads Asian stocks higher

LONDON - European markets were mixed Wednesday as investors awaited the European Central Bank's decision Thursday on another wave of economic stimulus. Asian markets rose.

Britain's FTSE 100 added 0.7 percent to 6,665.44 at midday while France's CAC 40 was down 0.3 percent to 4,433.69 and Germany's DAX dipped 0.2 percent to 10,234.13. U.S. stocks were set to open lower, with Dow futures slipping 0.3 percent; broader S&P 500 futures fell 0.4 percent.

Many in the markets are betting that the European Central Bank will throw the continent's stricken economy another lifeline on Thursday. It's widely expected that the ECB will announce another massive round of government bond buying using newly printed money -- a stimulus program known as quantitative easing.

"International stock markets have been supported by the expectation that the ECB will announce quantitative easing at its meeting this week," Ric Spooner, chief analyst at CMC Markets in Sydney, said in a commentary. "However, there is significant uncertainty about the nature and detail of any program."

The Shanghai index bounced higher for a second day, clawing back most of its losses after plummeting nearly 8 percent Monday. Helping shore up sentiment was China economic growth data released Tuesday, which "was a relief to markets," said Spooner, because it "paints a picture of slightly moderating overall growth with services sector growth going a fair way towards offsetting ongoing weakness in property."

Hong Kong's Hang Seng ended the day 1.7 percent higher at 24,352.58 and China's Shanghai Composite Index leapt 4.7 percent to 3,323.61. Australia's S&P/ASX 200 zoomed 1.6 percent higher to 5,393.40 and South Korea's Kospi edged up 0.2 percent to 1,921.23. Benchmarks in Taiwan, Singapore, the Philippines and New Zealand also climbed. Japan's benchmark Nikkei 225 index, meanwhile, slipped 0.5 percent to 17,280.48 after the Bank of Japan concluded a meeting without any changes to its ultra-loose monetary policy.

Benchmark U.S. crude for March delivery was unchanged at $46.39 in electronic trading on the New York Mercantile Exchange. The February contract ended its last day of trading Tuesday by dropping $2.30 to close at $46.39 a barrel. Brent crude for March delivery, the international benchmark, rose 61 cents to $48.60 in London.

The dollar weakened to 117.57 yen from 118.64 yen the previous day. The euro edged up to $1.1578 from $1.1548.