European stocks fall, US inflation data in focus

European markets were slightly lower on Wednesday, as traders reviewed disappointing corporate updates.

The pan-European Stoxx 600 index traded down 0.2%, with most bourses and sectors in the red. Retail stocks led the losses, falling 2.8%, while media stocks rose 0.5%.

According to CNBC, shares of Spanish clothing giant Inditex fell 5% after the owner of Zara reported interim results for the latest three months. The fashion retailer said its revenue between Nov. 1 and Dec. 9 was up 9% compared to the same period last year on a constant currency basis.

Meanwhile, shares of German retailer Zalando fell as much as 10% after it agreed to acquire fashion group About You.

The US CPI data is expected to influence how the Federal Reserve moves forward in setting interest rates at its meeting on Dec. 17-18. Economists polled by Dow Jones expect headline inflation to rise 0.3% in November and 2.7% over the previous 12 months. Asia-Pacific markets were mixed on Wednesday, after Wall Street’s main indexes fell on Tuesday ahead of the data, while U.S. stock futures were mostly flat overnight.