European shares rise as markets await US inflation, Fed verdict
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Synopsis
European shares opened higher on Wednesday, supported by a drop in euro zone bond yields. Investor focus shifted to crucial events like U.S. inflation print and the Federal Reserve's monetary decision amid French political uncertainty.
By Reuters
Last Updated:
European shares opened higher on Wednesday, supported by a drop in euro zone bond yields, while investor focus shifted to crucial U.S. inflation print and Federal Reserve's monetary decision due later in the day.
The euro zone government bond yields dropped on Wednesday, a day after notching multi-month highs as markets await U.S. data and the Fed's interest rate verdict later in the day.
Most sectors traded higher, led by a 1% gain in European lenders, while automobile stocks underperformed with a 0.5% drop.
Data showed German inflation accelerated in May due to higher service prices, confirming preliminary data. The country's benchmark DAX index was up 0.5%.
Shares of Umicore fell 6.3% to the bottom of the benchmark index after the Belgian metal recycling group issued a profit warning for 2024, becoming the latest supplier hit by a slowing electric vehicle market.
Legal & General dropped 3.2% even after the British insurer said it would offer a 200-million-pound ($254.86 million) share buyback and merge its investment units.
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The pan-European STOXX 600 was up 0.4%, as of 0723 GMT, after two sessions of declines amid French political uncertainty.The euro zone government bond yields dropped on Wednesday, a day after notching multi-month highs as markets await U.S. data and the Fed's interest rate verdict later in the day.
Most sectors traded higher, led by a 1% gain in European lenders, while automobile stocks underperformed with a 0.5% drop.
Data showed German inflation accelerated in May due to higher service prices, confirming preliminary data. The country's benchmark DAX index was up 0.5%.
Shares of Umicore fell 6.3% to the bottom of the benchmark index after the Belgian metal recycling group issued a profit warning for 2024, becoming the latest supplier hit by a slowing electric vehicle market.
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Legal & General dropped 3.2% even after the British insurer said it would offer a 200-million-pound ($254.86 million) share buyback and merge its investment units.
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