European Stocks Rise Slightly, Inflation and Growth in Focus
European markets opened higher on Friday (September 12), continuing their positive trend throughout the week. At 07:05 GMT, Germany's DAX index rose 0.3%, France's CAC 40 gained 0.1%, and the UK's FTSE 100 added 0.2%. All three benchmark indices were on track to close the week higher, with the CAC 40 nearly up 2% despite being shaken by domestic political turmoil.
From the UK, the latest data showed the economy stagnating in July. Gross domestic product (GDP) did not grow, after a 0.4% increase in June. This slowdown follows a relatively solid first half of 2025, with growth of 0.7% in the first quarter and 0.3% in the second quarter. This data raises concerns about a slowdown in the UK economy towards the end of the year.
Meanwhile, German inflation rose to 2.1% in August, according to official data released by the Federal Statistics Office. This figure is higher than July's 1.8%. However, data from France and Spain are expected to continue to show controlled inflation, so the inflation outlook in the eurozone remains relatively stable.
The European Central Bank (ECB) decided to keep interest rates unchanged on Thursday and expressed an optimistic outlook for growth and inflation. This decision dampened expectations of further interest rate cuts in the eurozone. Meanwhile, in-line US inflation data reinforced expectations that the Federal Reserve will cut interest rates by 25 basis points next week, a move that also positively impacted global market sentiment. (ayu)
Source: Newsmaker.id
