European Shares Slip After UK Inflation Data

European stocks declined on Wednesday due to uncertainty over the rate outlook and amid caution ahead of Nvidia’s earnings release.

Meanwhile, data showed that U.K. consumer price inflation slowed less than expected in April, raising uncertainty over a possible rate cut in June.

Data from the Office for National Statistics showed that the U.K. consumer price inflation weakened to the lowest since July 2021.

Consumer prices rose 2.3 percent on a yearly basis in April, slower than the 3.2 percent increase in March. However, inflation was stronger than economists’ forecast of 2.1 percent.

The pan European STOXX 600 dipped 0.3 percent to 521.37 after declining 0.2 percent on Tuesday.

The German DAX and the U.K.’s FTSE 100 both fell around 0.3 percent while France’s CAC 40 was down 0.6 percent.

The dollar edged higher as investors awaited Federal Reserve meeting minutes for more insight on the central bank’s rate path.

In corporate news, Swedish paper group Billerud gained 2 percent after saying it has scrapped plans to convert the Escanaba paper mill to produce cartonboard.

Dutch engineer Aalberts tumbled 3.7 percent after organic revenues over the first four months of 2024 fell 2.5 percent year-on-year.

British industrial and electrical products provider RS Group lost 4.2 percent after underlying annual profits fell 25 percent.

Marks & Spencer soared 8.3 percent. The retailer announced its first dividend since 2019 after reporting its highest profit in more than a decade.

British Land rose about 2 percent after selling its stake in Sheffield’s Meadowhall shopping centre for £360m.