Europe stocks hit fresh intraday high ahead of key euro zone inflation data

Sophie Kiderlin@in/sophie-kiderlin-b327b914a/@SKiderlin

LONDON — European markets were higher on Friday, the last trading day of August, as investors looked to key inflation data from across the region and the U.S.

The pan-European Stoxx 600 notched a fresh intraday record high on Friday and was last 0.33% higher at 9:51 a.m. London time. Most major regional bourses and sectors were trading in the green. Tech shares pulled back 0.53%, while mining stocks added 0.99% and utilities rose by 0.78%.

The Stoxx 600 had recorded a winning day on Thursday, with tech stocks leading gains as investors considered artificial intelligence heavyweight Nvidia’s latest quarterly earnings report which was released earlier in the week.

European markets

A series of key inflation data is slated for Friday, in both Europe and the U.S.

France’s preliminary, EU-harmonized consumer price index came in at 2.2% for August on an annual basis, down from the 2.7% print of July, the country’s statistics office said Friday. Further inflation figures are expected later in the day from Italy and the euro zone.

That comes after German and Spanish CPI reports released Thursday showed that inflationary pressures in the two countries are easing.

In Germany, preliminary annual headline on an EU-harmonized basis eased more than expected to 2% in August, compared with the 2.3% forecast and July’s 2.6% reading. Spain’s preliminary harmonized inflation came in at 2.4% for August, also lower than expected and down from than the previous month’s 2.9% print.

Investors will be closely watching the data for clues about whether another interest rate cut from the European Central Bank could come in September.

Also on the data front in Europe, the final reading of the French second-quarter gross domestic product reflected 0.2% growth according to the country’s national statistics office, revised down from the preliminary 0.3% figure released in July.

Source : cnbc