European Shares Gain Ahead Of US Inflation Figures

European stocks rose on Wednesday as virus cases fell in China and the country’s securities regulator pledged action to shore up region’s worst-performing stock market.

Investors awaited the release of U.S. consumer price inflation data later in the day for any signs that inflation is beginning to cool from a 40-year high.

German consumer price inflation rose to 7.4 percent in April from 7.3 percent in March, final data from Destatis showed earlier in the day.

The inflation rate hit an all-time high since German reunification and also came in line with the flash estimate published on April 28.

The pan-European STOXX 600 index rallied 1.2 percent to 425.43 after rising 0.7 percent on Tuesday.

The German DAX gained 1 percent, France’s CAC 40 index jumped 2 percent and the U.K.’s FTSE 100 was up 1.1 percent.

Italian tire maker Pirelli rose 1.2 percent after lifting its FY revenue outlook.

Swedish Match soared almost 9 percent after Marlboro-maker Philip Morris International Inc confirmed it was in talks to buy the Swedish firm.

ITV jumped 2.6 percent in London after the broadcaster delivered another strong quarter amid robust operational and financial performance.

Travel and tourism company TUI AG soared 4 percent after saying it returns to profit this year.

Funeral-related service provider Dignity plunged 8 percent after posting a decline in Q1 earnings and revenue.

French train maker Alstom lost 6 percent despite reporting annual operating profit above expectations.

German industrial heavyweight Thyssenkrupp surged 11 percent after raising its outlook for sales and operating profit for 2022.

Insurer Allianz rallied 3 percent after it added another €1.9bn to provisions against its imploded Structured Alpha hedge fund.

Agriculture and pharmaceutical firm Bayer tumbled 6.3 percent after reports that the Biden administration asked the U.S. Supreme Court not to hear the company’s bid to reject customers’ claims that its Roundup weedkiller causes cancer.