DAX Continues to Fall, Having No Support From Eurozone Inflation Data
The German DAX stock index continues to decline. Today, the DAX fell by 0.29% to trade at 11.390 level. Overall this week, the DAX has lost 1.8%. European stocks suffered broad losses yesterday, after the resignation of the UK’s Brexit secretary, which triggered massive uncertainty over the country’s plans to exit from the EU and the future of the government.
Consumer prices in the Eurozone rose 2.2% yoy in October after a 2.1% increase in September. The indicator showed the biggest increase since December 2012. On the month, headline inflation increased by 0.2% last month, in line with market expectations, but slowing from 0.5% growth in September. Meanwhile, core inflation, which excludes energy, food, tobacco and alcohol, was confirmed at 1.1% on the year in October.
Economic data from Germany showed, that wholesale prices rose at a faster pace in October. Wholesale price index (WPI) increased at an annual rate of 4% in October from 3.5% recorded in the previous month. On a monthly basis, wholesale prices rose by 0.3% in October after increasing by 0.4% in September.