European stocks close higher as investors digest new euro zone inflation data

European stocks closed higher on Friday, as investors digested new inflation data in the euro zone and its implications for the European Central Bank’s interest rate decision next week.

According to CNBC, the European Stoxx 600 index rose by 0.32% as the markets closed. Sectors were mostly in positive territory, with utilities adding 1.04%, while technology stocks lost 1.48%. Refinitiv data showed that the Stoxx 600 index ended May with its largest monthly gain since March.

Shares of British retailer JD Sports fell as much as 12% before paring losses slightly, after it reported a decline in first-quarter sales in the United Kingdom.

The European Stoxx 600 index fell by 0.5% during the week ending at the end of the Friday session, and the German DAX index fell by 1.05%.

The French CAC 40 index fell by 1.26%, and the British FTSE 100 index also fell by 0.51%.

The European Stoxx 600 index rose by 2.63% during May trading, the German DAX index rose by 3.15%, and the French CAC 40 index rose by 0.1%.

The European Stoxx 600 index rose 1.67 points, or 0.32%, to 518.17 points at the end of trading.

The German DAX index closed up 1.15 points, or 0.01%, to 18,497.94 points.

The British FTSE 100 index rose 44.38 points, or 0.54%, at the close to 8,275.38 points.

The French CAC 40 index rose by 14.36 points, or 0.18%, at the close to 7,992.87 points.

Inflation in the euro zone accelerated more than analysts expected this May, despite expectations of a rate cut at the next June meeting.

The consumer price index in the euro zone rose by about 2.6% this month, compared to analysts’ expectations of 2.5% and compared to levels of 2.4% in April.

But overall, headline inflation numbers have declined significantly from the peak of 10.6% recorded in October 2022, and have recorded levels below 3% over the past eight months.