DAX Moves Higher on Firm Retail PMIs
European stock markets traded higher, while investors focused on political developments in Europe and the latest news about the trade dispute between the US and China. The German DAX stock index rose by 0.25% and is trading at 12.818 level.
Eurozone retail PMI rose to 51.7 in May, hitting a 3-month high, indicating higher monthly sales. German retail PMI increased to 13-month high at 55.5. France retail PMI grew to 3-month high at 50.7. Italy retail PMI stayed in contraction at 47.3.
Peter Praet (European Central Bank Chief Economist) confirmed that next week’s policy meeting will be pivotal for reaching a decision on when to end the institution’s bond-buying program. His comments reinforce the view that the ECB is close to settling the question of how long it will keep buying debt to support the euro-area economy. The politician also stated, that robust economic growth in the Eurozone and increasingly evident wage pressures support the European Central Bank’s confidence that inflation is on its wage back to 2% target.