European stock markets rose on Wednesday after cooler-than-expected inflation data from the UK.
The UK's consumer price index (CPI) rose 7.9% year-on-year in June, down from 8.7% in May. This was below the consensus forecast of 8.1%.
The drop in inflation was driven by a decline in energy prices, which fell 10.7% year-on-year in June. However, core CPI, which excludes energy and food prices, rose 6.9% year-on-year, up from 6.6% in May.
The lower inflation figures are likely to be welcomed by the Bank of England, which is expected to raise interest rates again later this month. However, the central bank will be aware that core inflation remains elevated, and it is likely to continue to raise rates in an effort to bring inflation under control.
Elsewhere, stock markets in the US were also higher on Wednesday, as investors awaited the release of earnings reports from major companies.
Crude prices stabilize after falling US inventories
Oil prices stabilized on Wednesday after the previous session's strong gains.
Data from the American Petroleum Institute showed that US crude stockpiles fell by 0.8 million barrels last week. This was a smaller decline than expected, and it helped to support prices.
However, concerns about the global economy weighed on prices. China's economy grew by just 0.4% in the second quarter, and this raised concerns about demand for oil.
Gold prices rise
Gold prices rose on Wednesday, as investors sought safe-haven assets amid concerns about the global economy.
The price of gold rose by 0.1% to $1,982.95 an ounce.
EUR/USD trades higher
The euro rose against the US dollar on Wednesday, as investors bought the euro on expectations of more monetary easing from the US Federal Reserve.
The euro rose by 0.1% to 1.1233 against the dollar.

calendar_month19/07/2023 10:55 am