(fxcue news) - European stocks may open on a positive note Wednesday as U.S. recession worries eased and the Bank of Japan played down the chances of a near-term rate hike, triggering a sharp fall in the yen. U.S. stock futures reversed early losses to trade higher despite AI darling Super Micro Computer reporting earnings below estimates. Asian markets advanced, led by Japan as BOJ Deputy Governor Uchida emphasized interest rates won't rise during market instability. Elsewhere, data showed China's imports grew faster-than-expected in July, while export growth came in below forecasts. German industrial production and trade balance figures may influence trading sentiment later in the day. U.K. Halifax house price data is due, and analysts expect house prices to show a 0.3 percent month-on-month gain in July, in contrast to the 0.2 percent decrease in June. The dollar held steady as markets scaled back wagers on an intra-meeting emergency rate cut from the Federal Reserve. Gold edged up slightly toward $2,400 per ounce due to dovish Fed expectations and increased tensions in the Middle East. Oil prices were modestly higher after snapping a four-session losing streak on Tuesday as the Middle East braced for a possible new wave of attacks by Iran and its allies following last week's killing of senior members of fighter groups Hamas and Hezbollah. U.S. stocks rebounded overnight after three straight days of losses. Investors hunted for bargains as Caterpillar and Uber reported solid earnings and Fed officials clarified the U.S. is not headed for a recession. In economic news, U.S. trade gap narrowed less than expected in June and the Atlanta Fed raised its third quarter growth projection for the U.S. economy. The Dow gained 0.8 percent, while the S&P 500 and the tech-heavy Nasdaq Composite both added around 1 percent. European stocks ended mixed on Tuesday after a volatile session. The pan European STOXX 600 edged up 0.3 percent after logging its steepest three-day decline since June 2022 the previous day. The German DAX finished marginally higher and the U.K.'s FTSE 100 rose 0.2 percent while France's CAC 40 shed 0.3 percent.