European shares slip as China data sparks disinflation concerns

This post was originally published on this site

The pan-European STOXX 600 index dipped 0.3% by 0720 GMT, with China-exposed miners and automakers leading the losses.

Asian markets were subdued after data showed China’s factory-gate prices fell at the fastest pace in seven-and-a-half years in June, while consumer inflation was at its slowest since 2021.

The benchmark STOXX 600 posted its worst week in almost four months on Friday after hawkish messages from central bank policymakers and resilient U.S. economic data fuelled concerns that interest rates will remain elevated for longer.

Among single stocks, shares of Bayer (OTC:BAYRY) rose 2.5% following a report that the German drugs-to-pesticides giant could spin off and list its CropScience unit.

Kering (EPA:PRTP) slipped 0.3% after the Financial Times reported that the owner of Gucci paid 3.5 billion euros ($3.83 billion) for acquiring high-end French fragrance label Creed in June.