US equity futures pared an advance and European stocks climbed as more investors said the Federal Reserve is likely to pause interest-rate hikes on the back of cooling inflation data.

Contracts on the S&P 500 and the Nasdaq 100 were little changed. In US premarket trading, Walt Disney dropped after predicting a wider loss for its streaming service this quarter. Robinhood Markets rose following better-than-expected results from the trading platform. Travel and personal-care stocks guided gains in European equities.

The Pound trimmed its losses slightly after the BoE raised its benchmark lending rate to the highest level since 2008 and said further increases may be needed if inflationary pressures persist. The BOE also made the biggest upgrade to UK growth projections since it gained independence in 1997.

Investor attention turns next to US initial jobless claims and producer prices data due later, which will provide the latest snapshot of the state of the economy. Figures out yesterday showed signs of moderating US inflation after a year’s worth of Fed rate hikes and recent credit stress. However, overall prices are still rising at a brisk pace and the job market remains robust.