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

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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