European Stocks Close Mixed Amid Inflation Fears
European stocks ended mixed on Wednesday as investors digested renewed inflationary pressures and volatility in global bond markets. The pan-European STOXX Europe 600 index fell by a mere 0.02%, or 0.13 points, to close at 651.77.
The DAX in Germany was nearly flat, while the CAC 40 in France edged up 0.09% to 8,501.91. The FTSE 100 in the UK gained 0.14% to finish at 10,743.35.
However, Italy's FTSE MIB fell 0.75% to 52,618.2, and Spain's IBEX 35 declined 0.44% to 19,847.5. The mixed performance came as data released on Wednesday showed that annual inflation in the euro area rose to 2.9% in July from 2.8% in June.
Energy contributed 0.94 percentage points to the annual rate, while services added 1.55 percentage points. UK consumer inflation also accelerated to 2.9% in July from 2.6% in June, with housing and household services making a significant upward contribution.