Major European indices have pared gains following the negative reaction in U.S. markets to the hot CPI data.
Germany’s CPI increased at its fastest yr/yr pace since 1974 in the April reading.
A few European Central Bank policymakers spoke in favor of raising rates while President Lagarde repeated her expectations for ending asset purchases in early Q3.
The U.K.’s National Institute of Economic and Social Research noted that the Bank of England’s base rate will need to be at 2.5% until the middle of the decade to curtail inflation.
STOXX Europe 600: +0.7%
Germany’s DAX: +0.3%
U.K.’s FTSE 100: +0.3%
France’s CAC 40: +0.3%
Italy’s FTSE MIB: +0.8%
Spain’s IBEX 35: +0.3%