Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Politics

Europe markets open: FTSE 100 leads gains, Stoxx 600 up; focus on UK inflation

admin by admin
May 27, 2025
in Politics
0
Europe markets open: FTSE 100 leads gains, Stoxx 600 up; focus on UK inflation
0
SHARES
2
VIEWS
Share on FacebookShare on Twitter

European stock markets presented a somewhat mixed but generally positive picture at Tuesday’s open, with the pan-European Stoxx 600 index ticking higher.

London’s FTSE 100 notably outperformed, surging as trading resumed after a long Bank Holiday weekend, buoyed by a temporary reprieve in US-EU trade tensions.

However, concerns over rising UK food inflation and cautious German consumer spending tempered broader optimism.

Approximately 15 minutes into the trading day, the Stoxx Europe 600 index was trading 0.2% higher, indicating a modest overall advance.

However, performance across national bourses varied.

The UK’s FTSE 100 index of blue-chip shares jumped impressively, up 75 points, or 0.85%, to 8792 points, approaching a two-month high.

This relief rally in London was largely attributed to news that US President Donald Trump had delayed his threatened hike on EU tariffs to 50% until July, temporarily cooling fears of an escalating trade war.

Leading the FTSE 100 risers were engineering group Melrose (+3.8%), followed by technology firm DCC (+2.4%) and aerospace giant Rolls-Royce (+2%).

In contrast, mainland European markets showed more restraint.

France’s CAC 40 declined by 0.2%, while Germany’s DAX held steady, suggesting a more cautious investor stance on the continent.

Economic undercurrents

Despite the cheer in London’s equity market, fresh economic data highlighted ongoing inflationary pressures in the UK.

Food inflation rose by 2.8% year-on-year in May, according to the British Retail Consortium (BRC).

This marked the fourth consecutive month of price increases in this category, up from 2.6% year-on-year growth in April and exceeding the three-month average of 2.6%.

Helen Dickinson, Chief Executive of the BRC, stated on Tuesday that “fresh food prices were the main driver of the price rises, with wholesale beef prices increasing.”

She argued that increased costs being levied on businesses were having a clear inflationary impact.

“With retailers now absorbing the additional £5bn in costs from April’s increased Employer National Insurance contributions and National Living Wage, it is no surprise that inflation is rearing its head once again,” Dickinson said.

Meanwhile, in Germany, consumer sentiment showed signs of improvement in May, as per the GfK Consumer Climate report released on Tuesday.

This marked the third consecutive month of an upward trend for the index, partly driven by slowing inflation and “good wage settlements.”

However, despite this improvement, overall sentiment remained low, and analysts noted that consumers were hesitant to make discretionary purchases.

This reluctance was attributed to the ongoing threat of US tariff policies.

“The unpredictable customs and trade policy of the US government, turbulence on the stock markets and fears of a third consecutive year of stagnation are reasons why the consumer climate remains weak,” commented Rolf Bürkl, consumer expert at the NIM, in a statement on Tuesday.

In view of the general economic situation, people seem to think it advisable to save.

The GfK Consumer Climate report, which surveyed around 2,000 German consumers between May 1 and May 12, was jointly published by NIQ and the Nuremberg Institute for Market Decisions.

The post Europe markets open: FTSE 100 leads gains, Stoxx 600 up; focus on UK inflation appeared first on Invezz

Previous Post

Samsung to invest in US health-care software and device company Exo? What we know

Next Post

Poorest nations face $22bn China debt bill in 2025, risking cuts to vital services

admin

admin

Next Post
Poorest nations face $22bn China debt bill in 2025, risking cuts to vital services

Poorest nations face $22bn China debt bill in 2025, risking cuts to vital services

Trending News

Movement Labs’s MOVE token tumbles 73% as Coinbase delisting follows $38M sell-off

Movement Labs’s MOVE token tumbles 73% as Coinbase delisting follows $38M sell-off

May 2, 2025
US jobs report could firm or upend Fed “base case” of quarter-point cuts

US jobs report could firm or upend Fed “base case” of quarter-point cuts

October 4, 2024
Trump’s tariffs on Brazil could make your coffee even more expensive

Trump’s tariffs on Brazil could make your coffee even more expensive

July 12, 2025
Subscribe to Insightful Word


    Recent News

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    August 28, 2025
    SentinelOne stock price forecast ahead of earnings: buy or sell?

    SentinelOne stock price forecast ahead of earnings: buy or sell?

    August 28, 2025
    Tesla wants millions of robotaxis by 2025, but will Waymo win the long game?

    Tesla wants millions of robotaxis by 2025, but will Waymo win the long game?

    August 28, 2025
    Urban Outfitters stock slides 4% despite strong quarter on cautious outlook

    Urban Outfitters stock slides 4% despite strong quarter on cautious outlook

    August 28, 2025

    Recent News

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    August 28, 2025
    SentinelOne stock price forecast ahead of earnings: buy or sell?

    SentinelOne stock price forecast ahead of earnings: buy or sell?

    August 28, 2025

    Latest News

    • Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in
    • SentinelOne stock price forecast ahead of earnings: buy or sell?
    • Tesla wants millions of robotaxis by 2025, but will Waymo win the long game?

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.