European Markets Open Mixed Following Gains in Asia

European markets opened mixed Wednesday, following gains in Tokyo and Hong Kong.

Markets in London and Paris are up 5 and 6 percent, while Frankfurt is down nearly 2 percent.

Tokyo's Nikkei index rallied late in the day to close up nearly 7.75 percent, following speculation that Japan's central bank might cut interest rates. The Hang Seng in Hong Kong finished about one percent higher.

An announcement by the U.S. central bank on interest rates is expected later Wednesday. Rate cuts reduce the cost of borrowing and can boost economic activity.

On Tuesday in New York, the benchmark Dow Jones Industrial Average jumped nearly 11 percent and other U.S. indexes also gained.

The gains recovered some of the losses of previous trading sessions, and follow a series of government efforts to bolster the battered global economy.

Some information for this report was provided by Bloomberg.