People cross a street in front the headquarters building of the European Central Bank (ECB) in Frankfurt am Main, western Germany, on June 5, 2024.
Kirill Kudryavtsev | Afp | Getty Images
LONDON — European markets opened higher on Friday, the last trading day of August, as investors looked to key inflation data from across the region and the U.S.
The pan-European Stoxx 600 was 0.12% higher at 8:08 a.m. London time as major regional bourses and sectors were mixed. Tech stocks pulled back 0.7%, while mining stocks added 0.66%.
The Stoxx 600 had recorded a winning day on Thursday, with tech stocks leading gains as investors considered artificial intelligence heavyweight Nvidia’s latest quarterly earnings report which was released earlier in the week.
European markets
A series of key inflation data is slated for Friday, in both Europe and the U.S.
France’s preliminary, EU-harmonized consumer price index came in at 2.2% for August on an annual basis, down from the 2.7% print of July, the country’s statistics office said Friday. Further inflation figures are expected later in the day from Italy and the euro zone.
That comes after German and Spanish CPI reports released Thursday showed that inflationary pressures in the two countries are easing.
In Germany, preliminary annual headline on an EU-harmonized basis eased more than expected to 2% in August, compared with the 2.3% forecast and July’s 2.6% reading. Spain’s preliminary harmonized inflation came in at 2.4% for August, also lower than expected and down from than the previous month’s 2.9% print.
Investors will be closely watching the data for clues about whether another interest rate cut from the European Central Bank could come in September.
Also on the data front in Europe, the final reading of the French second-quarter gross domestic product reflected 0.2% growth according to the country’s national statistics office, revised down from the preliminary 0.3% figure released in July.
Inflation insights will also come from the U.S. in form of the all-important personal consumption expenditures price index, which is the Federal Reserve’s preferred inflation measure and could inform the central bank’s monetary policy. The Fed has not yet started cutting interest rates, but markets are firmly pricing in a September cut.
U.S. futures were last little changed ahead of the data after several days of choppy trading action this week. Elsewhere, Asia-Pacific markets climbed on Friday.
