Europe ended the session higher, on a day of lower trading volume
Major European indices ended the first session of the week on the rise, on a day with lower trading volume due to a public holiday in the UK.
The European index, the Stoxx 600, rose 0.35% to 466.94 points, recording trading volume nearly half of the normal average. The banking and travel sectors recorded the biggest gains. The real estate sector pointed to the biggest declines.
Investors’ focus shifts to the US April inflation reading on Wednesday, which will make it possible to understand the impact of monetary policy on the economy, providing perspectives on future decisions by the US Federal Reserve.
“We would be skeptical to expect a very significant drop in inflation, so we would expect to be a little disappointed with the inflation numbers, which should be in line with expectations or higher,” Marija Wittmann of State Street Global Markets told Bloomberg.
This Monday, the ECB’s chief economist, Philip Lane, said that inflation remains very high, continues to have “momentum” and that the ECB sees “significant” risks if it continues this way.
On Sunday, f Dutch central bank governor Claes Nott said that although the current cycle of interest rate hikes is having an effect, more is needed to bring the inflation rate up to the desired 2%.
Among the major indices in Western Europe, France’s CAC-40 rose 0.11%, Italy’s FTSEMIB rose 0.28% and Spain’s IBEX 35 jumped 0.7%. In Amsterdam, the AEX posted an increase of 0.29%.
Counter-cyclical, Germany’s DAX gained 0.05%.
London Square is closed due to a public holiday in the name of the coronation celebrations of King Carlos III.
Emily Brontë is a journalist and feature writer specialising in culture, entertainment, literature, and current affairs. She is dedicated to producing clear, accurate reporting that helps readers stay informed about developments in the UK and around the world.