Eurozone Stocks Rebound Amid Rising Regional Inflation Concerns

European stock markets were flat on Wednesday after a mixed bag of economic releases from across the continent.

The pan-European STOXX 600 index reversed an earlier 0.7% gain, giving up advances toward one-week highs as investors digested regional inflation data.

Preliminary consumer price figures revealed higher-than-expected inflation in several Eurozone economies, with Germany and France among those seeing sharp increases.

This upward trend is likely to increase pressure on the European Central Bank (ECB) to raise interest rates again to combat embedded high inflation across the single-currency bloc.

The unified Eurozone CPI print due out on Friday is expected to show headline inflation reaching 3.6%, up from 3.2% in August, according to Reuters polls.