European markets were heading for a mixed open on Thursday as traders assessed the global inflation outlook and the possible trajectory of central bank rate cuts.
The U.K.’s FTSE 100 index is expected to open 24 points higher at 8,041, Germany’s DAX 1 point higher at 18,975, France’s CAC up 12 points at 7,223 and Italy’s FTSE MIB down 19 points at 33,404, according to IG data.
It’s another busy day of earnings with Siemens, Bilfinger, Merck, Fincantieri, Geox, Generali, Veon, Swiss Re, Burberry, Metro Bank, Aviva and Deutsche Telekom among those reporting during the session. European employment figures will also be published on the data front.
Investors are assessing the likelihood of another interest rate cut by the U.S. Federal Reserve in December after the latest U.S. inflation data. The October consumer price index came in as expected on Wednesday, but signaled that the Federal Reserve’s fight against inflation is yet to be won.
Core CPI, which excludes volatile food and energy prices, rose by 0.3% for a third straight month, with the 12-month rate at 3.3%.
Investors are also deliberating whether a post-election rally following Donald Trump’s decisive victory last week still has legs after propelling U.S. major averages to new highs. U.S. stock futures were little changed Wednesday night, and Asia-Pacific markets traded in mixed territory.