Market Update
European markets moved higher Tuesday amid a batch of data.
The FTSE was up 0.2%. The CAC 40 Paris gained 0.4% while the DAX added 0.8%.
Consumer price inflation in the U.K. slowed more than expected in May, touching its lowest level since October 2009, data showed earlier today. Inflation rose at a seasonally adjusted 1.5% in May, down from 1.8% in April and better than expectations for an increase of 1.7%. Also, producer price inflation, or PPI, declined for the fifth consecutive month in May, official data showed.
The closely watched German ZEW Center’s index of investor and analyst expectations disappointed investors after its economic sentiment index fell further to 29.8 in June from an already low point of 33.1 in May, and much lower than expectations for a reading of 35. The gauge aims to predict economic developments six months in advance.
Elsewhere in the region, data showed Italy’s trade balance unexpectedly fell last month.
Stocks on the Move
Ashtead Group PLC fell 6.5% after results.
Shire PLC rallied 2.8% after a report in Reuters that the company had hired Citigroup in expectations of a takeover bid after a spate of deals in the pharmaceutical industry.
Alstom SA was down 1.4% as it extended yesterday’s declines following a joint offer from Siemens and Mitsubishi Heavy industries, challenging a bid by General Electric for the French company’s power assets.
Carmakers and car-parts producers were up after data from the European Automobile Manufacturers’ Association showed an increase in registrations in May.
Renault SA and Peugeot advanced 1.3% each respectively while in Frankfurt, Daimler revved 1.6% higher. Volkswagen was up a percent.