European stock markets mid-session: European indices hit by commodities rout but recover after ECJ comment

European indices rebounded from early losses but are still trading negative as oil producers and miners lead declines amid a commodity rout after the World Bank cut the economic growth outlook for 2015 and 2016 on Tuesday naming economic slowdown in Europe, Japan and other major economies the reason. Stocks found support after Advocate General Pedro Cruz Villalon of the EU Court of justice in Luxembourg said that the ECB's Outright Monetary Transactions program is "in principle" in line with European law backing Mario Draghi. The ECB is determined to fulfill its mandate and is ready to buy government bonds to revive Eurozone's inflation.

Investors are looking forward to the European Central Bank policy meeting taking place on January 22^nd and the Greek elections on January 25^th where the anti-austerity party Syriza, that wants to renegotiate debt, is leading polls. According to Moody the "Grexit" seems a relatively unlikely scenario, even if the anti-austerity party Syriza will win in the upcoming Greek elections.

In today's session the FTSE 100 index plummeted the most being the most commodity-heavy index, declining -1.40% quoted at 6,450.31. France's CAC 40 lost -0.25% trading at 4,279.45 after a slump in early trading. Germany's DAX 30 is currently trading -0.13% at 9,928.50.