Local stocks edged higher in high volatility at midday. European stocks are in the red, as the higher-for-longer interest rates cast doubts for a speedy economic recovery. At home, PPC’s strong showing gave a mild push to the broader market. 

Higher interest rates in Europe will put pressure on the credit ratings of the region's companies and banks, S&P Global said on Tuesday.

"The trend in credit quality is turning negative for corporates, especially for speculative-grade issuers, as financing conditions tighten," the rater said in a report. As regards as European banks, “while asset quality deterioration will emerge, credit losses are expected to only normalize," the report noted. 

At 1405 local time, the generals hare index was trading 0.4% higher to 1220 points. PPC gained 3.1% while Jumbo rose 1.8%. Banks were up 0.2%, with Piraeus adding 1.5% while Eurobank was down 0.8%.

By Kakia Papadopoulou; kakia@thegreekdeal.com