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European stock markets close higher, with an empty agenda and waiting for the US CPI

Stock markets in Europe closed on Wednesday (11) on a high, in a trading session with an empty agenda, but with speeches by directors of the European Central Bank (ECB) indicating possible positions for raising interest rates. Investors are also awaiting the US inflation report (CPI).

In London, the FTSE 100, rose 0.40%, to 7,724.98 points, while the DAX index, in Frankfurt, followed the movement and closed up 1.17%, to 14,947.91 points.

The CAC 40, in Paris, advanced 0.80%, to 6,924.19 points, and the FTSE MIB, in Milan, closed up 0.72%, to 25,546.86 points. In Madrid, the Ibex 35 index rose 0.15% to 8,726.00 points.

Finally, on the Lisbon Stock Exchange, the PSI 20 rose 0.28% to 5,969.32 points. Quotes are preliminary.

The mild weather in January seems to be helping the sentiment of optimism, highlights analysis of CMC Markets. “Although consumers are becoming more choosy about where they spend their money, they are still spending it.”

According to a report, the rise of the FTSE 100 was mainly driven by retail, which presented solid commercial numbers this Wednesday. The increase was led by JD Sports, which was up more than 6.5% on the London Stock Exchange after indicating an annual profit forecast at the top of expectations, in the wake of a strong Christmas.

In the view of Danske Bank, the markets await the publication of the consumer inflation report (CPI) of the United States on Thursday, which should be a guide to the pace of interest rate hikes by the Federal Reserve (Fed, the north central bank -American). The CPI will be published on Thursday at 10:30 am (Brasília time).

This Wednesday, the leaders of the European Central Bank François Villeroy de Galhau and Robert Holzmann spoke to the Reuters on forecasts for the next interest rate hike, which influences corporate financing and guides investor negotiations.

According to Villeroy, the forecast is for hikes at a “pragmatic pace”, while Holzmann indicates that rates will have to rise significantly more.

Other drivers that guided the session’s business included the new ECB bulletin, which predicts a rise in energy prices, still a result of Russia’s invasion of Ukraine. The movement should weigh on consumer spending in the euro zone, reducing the real income of families.

*With information from Dow Jones Newswires.

Source: CNN Brasil

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