* European shares edged higher in choppy trade on Wednesday, after a strong rally in the previous session, ahead of the conclusion of a U.S. Federal Reserve meeting later in the day which many expect will result in the announcement of fresh stimulus measures.

* The Fed is set to announce its monetary policy decision at 1230 EDT on Wednesday following a two-day meeting, and many economists expect the central bank to extend its "Operation Twist," a program aimed at pushing down longer-term interest rates in a bid to support the economy.

* Adobe Systems Inc will be in focus after the maker of Photoshop and Acrobat software cut its full-year revenue outlook as weak demand in Europe could affect sales of the recently launched versions of its popular design software. Shares in the company traded in Frankfurt were down 4.6 percent.

* Procter & Gamble Co forecast annual earnings for its coming fiscal year would be between flat and up by a mid-single digit percentage amount, with underlying sales set to show a 2 to 4 percent increase. The world's largest household products maker said on Wednesday that after stripping out foreign exchange effects, core earnings per share would show growth of a mid-to-high single digit percentage in the fiscal year beginning July 1.

* Chip-equipment maker FSI International Inc forecast a weak fourth quarter as customers delay spending amid a global economic slowdown, sending the company's shares down 15 percent in after-hours trading.

* Jabil Circuit Inc forecast fourth-quarter results below analysts' estimates as sales stagnate, but the contract electronics maker's shares rose on expectations that it retained a key mobile phone customer.

* A Manhattan federal judge has decided against JPMorgan Chase & Co in a lawsuit over losses on securities backed by risky home equity loans, a ruling that could strengthen claims by insurers seeking to hold banks responsible for such losses.

* PepsiCo said it sees unfavorable exchange rates hurting 2012 profit more than the maker of Frito-Lay snacks, Quaker oatmeal and Tropicana orange juice had previously expected.

* On the earnings front, investors awaited results from Bed Bath & Beyond Inc., Goodrich Corp. and Red Hat Inc..

* U.S. stocks rose on Tuesday on hopes that the Federal Reserve will agree to extend stimulus measures as the economy struggles to recover and the euro zone's debt crisis gets worse.

* The Dow Jones industrial average gained 95.51 points, or 0.75 percent, to 12,837.33 at the close. The Standard & Poor's 500 Index advanced 13.20 points, or 0.98 percent, to 1,357.98. The Nasdaq Composite Index rose 34.43 points, or 1.19 percent, to close at 2,929.76.

(Reporting by Blaise Robinson; Editing by Toby Chopra)

• A Permanent Economic Emergency