Heraldo de Madrid - Oil prices extend gains as markets await ECB rate outlook

More important for investors will be comments from ECB chief Christine Lagarde on the prospect for further hikes, which could weigh on growth across the eurozone.

European stocks were muted ahead of the decision, following declines on most Asian markets, and the euro was steady against major currencies.

"Global equity markets moved onto the defensive... as another leg higher in crude sharpened the market's inflation anxiety," said Patrick Munnelly, a market strategist at Tickmill Group.

Brent North Sea crude, the main international benchmark, traded near $102 a barrel, having surpassed $100 on Wednesday for the first time since late July.

With the United States and Iran exchanging strikes around the Strait of Hormuz, and Saudi Arabia entangled in a conflict with Yemeni rebels allegedly seeking to control the Bab al-Mandab strait to the Red Sea, there appears little prospect Gulf energy shipments will return to normal soon.

Rising oil prices have fanned speculation the Federal Reserve and other central banks will have to lift interest rates more than they would like to tame prices.

Inflation fears are also driving up government bond yields, adding to concerns over countries' big debt piles.

In company news, Nintendo shares sank almost five percent following an online showcase of coming games, with one analyst, Serkan Toto of Kantan Games, calling it "very underwhelming".

In terms of new software, the Japanese gaming giant has now "shown everything that they have" for this calendar year, with a dearth of major original titles, Toto told AFP.

"They don't have a lot, and I think the investors understand that," he said.

Apple on Wednesday unveiled its first folding iPhone, kicking off the era of its new CEO John Ternus. Its share price slipped 0.3 percent ahead of the launch, and were showing little change in pre-market deals ahead of Wall Street's open.

- Key figures at around 1030 GMT -

Brent North Sea Crude: UP 0.6 percent at $101.83 per barrel

West Texas Intermediate: UP 1.3 percent at $97.25 per barrel

London - FTSE 100: DOWN 0.4 percent at 10,628.68 points

Paris - CAC 40: UP 0.2 percent at 8,170.13

Frankfurt - DAX: DOWN 0.1 percent at 25,554.24

Tokyo - Nikkei 225: UP 0.2 percent at 65,270.95 (close)

Hong Kong - Hang Seng Index: DOWN 1.3 percent at 24,954.47 (close)

Shanghai - Composite: DOWN 0.4 percent at 3,934.40 (close)

New York - Dow: DOWN 0.8 percent at 52,380.66 (close)

Euro/dollar: FLAT at $1.1629

Pound/dollar: DOWN at $1.3541 from $1.3544 Wednesday

Euro/pound: UP at 85.88 pence from 85.86 pence

Dollar/yen: UP at 153.90 yen from 153.65 yen

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M.Arroyo--HdM