Europe stocks higher ahead of U.S. inflation; Heineken up 13%; ECB’s Holzmann urges rate cut caution

European markets were slightly higher Wednesday as global markets await the latest inflation reading out of the U.S.

The pan-European Stoxx 600 was up 0.07% by midday London time, with all major bourses and almost all sectors in the green. Food and beverage stocks on the Stoxx index led gains, up 1.2%, while oil and gas stocks fell 0.6%.

Heineken shares jumped nearly 13% and trading was briefly halted after the Dutch brewer posted a forecast-beating a rise in operating profits and launched a 1.5 billion euro ($1.55 billion) share buyback program.

The positive results led other drinks makers higher, with Belgium’s AB InBev adding 4% and Denmark’s Carlsberg gaining 3%.

Global market focus is on the latest U.S. consumer price index report for January that will be published on Wednesday.

Headline inflation is expected to have grown 0.3% from the prior month and 2.9% from 12 months earlier, according to Dow Jones. Some economists on Wall Street have raised concerns that even as certain categories may see disinflation, Trump’s tariffs could offset that. More inflation data is due on Thursday, with the producer price index set to be released.

Traders were on guard Tuesday after Federal Reserve Chair Jerome Powell told the Senate Banking Committee that policymakers were in no hurry to make more interest rate cuts. Powell will appear before the House Committee on Financial Services on Wednesday.

S&P 500 futures were near the flatline Tuesday evening as investors awaited January’s consumer inflation report. Meanwhile, Asia-Pacific markets mostly rose overnight.

— CNBC’s Brian Evans contributed to this market summary