Europe's main stock markets are up in early trading on Monday, as investors expect central banks in Switzerland and the eurozone to further reduce borrowing costs.

In Paris, the CAC 40 gained 0.34% to 7,448.75 points at around 08:11 GMT. In Frankfurt, the Dax advanced by 0.17% and in London, the FTSE 100 gained 0.03%.

The EuroStoxx 50 index was up by 0.24%, the FTSEurofirst 300 by 0.03% and the Stoxx 600 by 0.04%.

The ECB will most likely cut interest rates by 25 basis points on Thursday, the fourth such decision in its current easing cycle. Investors will be paying particular attention to signs of further cuts in 2025, as inflation in the eurozone has almost returned to its target level, while the economy is losing momentum.

This decision will come against a backdrop of uncertainty about the policies adopted by the future administration of US President-elect Donald Trump and their impact on Europe, and at a time when the eurozone's two largest economies, Germany and France, are in a political stalemate.

Elsewhere in Europe, the Swiss National Bank is also set to cut its key rate by another 25 basis points on Thursday, according to over 85% of economists polled by Reuters, with most expecting the rate to be close to zero by 2025.

On the value side, Sopra Steria fell by 5.3%, to the bottom of the SBF 120 index, after announcing its medium-term outlook at an investor day.

The Italian luxury goods group Bruno Cucinelli advanced by 4.8%, supported by the upward revision of its sales forecast for this year.

In Zurich, Swiss drugmaker Lonza, which has announced its intention to withdraw from the capsules and health ingredients sector to concentrate on its development and contract manufacturing activities (CDMO), gains 6.4%.

(Written by Diana Mandiá, edited by Blandine Hénault)