European Markets: Oil Drag, Inflation Pressures, Eurostat GDP Forecasts in Balance

Oil prices remain high amid Middle East uncertainty, pushing European markets to foreground inflation risks.

Oil Dragging European Markets

Middle East peace talks uncertainty keeps oil prices elevated, leading the Stoxx Europe 600 to rise by 0.1% to 659.3 points. Meanwhile, the FTSE 100 slipped by 0.1% to 10,759 points.

Inflation Pressure and Corporate Balance Sheets

While U.S. inflation slows and solid corporate balance sheets boost risk appetite, Middle East uncertainty shadows European inflation concerns.

Economic Forecasts

■Eurostat expects the Eurozone second‑quarter GDP to grow by 0.4%.

■United Kingdom second‑quarter growth is 0.4%, with June industrial output falling 0.5% below expectations.

■Coal share in electricity generation fell to its lowest level at 9.2% last year.

Market Performance Details

■DAX 40 climbed 0.6% to 26,455 points, FTSE MIB 30 dipped 0.1% to 53,645 points, CAC 40 traded flat at 8,651 points, and IBEX 35 held steady at 20,163 points.

Forward‑Looking Outlook

Closing‑time data will focus on Eurozone second‑quarter GDP and June trade balance; these indicators will shape market direction.

Markets are balancing the high oil backdrop with positive corporate signals, but Middle East uncertainty continues to cast a shadow over European inflation expectations.