Stocks quiet after inflation reports

This morning, UK and European stocks are attempting to recover some of yesterday's sell-off. Markets fell on Thursday on rising concerns over the spread of the delta variant of coronavirus and its impact on global economic recovery.

Stocks quiet after inflation reports

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Data from the Office for National Statistics (ONS) this morning shows that UK inflation in June rose more than expected and reached a three year high. The consumer price index rose to 2.5%, from 2.1% in May. That’s the second month it has been above the BoE’s 2% target and puts pressure on the central bank to raise interest rates.

Similar theme in the US with data released Tuesday showing inflation increased to 5.4% in June, its largest monthly gain since August 2008.

Asian markets were lower on Tuesday in response and UK and European markets had a lacklustre open this morning.

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