European Stocks Fail to Continue US Tech Rally’s Gains – Europe Market Wrap

Following the most recent tech-driven gains in the US, traders looked for new catalysts, and European stocks found it difficult to build on a two-day surge.

Despite gains in the transport and basic resources sectors, the Stoxx 600 fell by 0.1%. The S&P 500 and Nasdaq 100 contracts moved higher on Wednesday despite Wall Street being closed due to a US holiday. This was due to the underlying gauges closing at new all-time highs. This breakthrough was made possible by Nvidia, the artificial intelligence leader that rose to become the most valuable business in the world with a valuation of over $3 trillion.

Global equities have mostly ignored the political unrest in France and indications that the Fed may postpone its rate-cutting until December. Investor attention is now centred on the picture of robust economic growth, which should sustain corporate earnings, particularly in the technology industry.

According to CPI data, UK inflation returned to the Bank of England’s 2% objective for the first time in nearly three years, confirming analysts’ observations that inflation is slowing down throughout the developed world.