- May 31, 2022
- By: Admin1_blog
- EU Market, Indices
Key Points
- Fresh data on Monday showed that German EU-harmonized inflation came in at an annual 8.7% in May, significantly outstripping analyst expectations of 8.0% in a Reuters poll.
- May’s initial flash inflation prints are due from France, Italy and the broader euro zone on Tuesday, and investors will be watching closely for indications as to the speed and scale of interest rate hikes that may be required from the European Central Bank from July onwards.
LONDON — European stocks were slightly lower on Tuesday after a hot German inflation reading reignited concerns about the pace of monetary tightening from central banks.
| TICKER | COMPANY | NAME | PRICE | CHANGE | %CHANGE | VOLUME |
|---|---|---|---|---|---|---|
| .FTSE | FTSE 100 | *FTSE | 7600.06 | 14.6 | 0.19 | 1009169798 |
| .GDAXI | DAX | *DAX | 14575.98 | 0 | 0 | 0 |
| .FCHI | CAC 40 Index | CAC | 6533.04 | -29.35 | -0.45 | 2760992 |
The pan-European Stoxx 600 slipped 0.3% in early trade, with tech stocks dropping 1.2% while oil and gas stocks climbed 1.2% on spiking oil prices.
Fresh data on Monday showed that German EU-harmonized inflation came in at an annual 8.7% in May, significantly outstripping analyst expectations of 8.0% in a Reuters poll and marking a sharp incline from the 7.8% seen in April.
May’s initial flash inflation prints are due from France, Italy and the broader euro zone on Tuesday. Investors will be watching closely for indications as to the speed and scale of interest rate hikes that may be required from the European Central Bank from July onward.
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Global markets are also reacting to another jump in oil prices after EU leaders agreed late on Monday to ban 90% of Russian crude by the end of the year, as part of the bloc’s sixth sanctions package against Moscow since its invasion of Ukraine.
Shares in Asia-Pacific were mixed on Tuesday as data showed that Chinese manufacturing activity contracted again in May amid the country’s Covid-19 lockdowns, but at a slower rate, indicating some progress toward normalization.
U.S. stock futures rose tentatively in early premarket trade, looking to build on last week’s momentum after Wall Street was closed on Monday for the Memorial Day holiday.
Source : CNBC
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