European Shares Struggle For Direction Ahead Of Key Inflation Data

(RTTNews) - European stocks struggled for direction on Tuesday as investors awaited upcoming U.S. and U.K. inflation data for direction.

The British pound strengthened against other major currencies after data showed the U.K. unemployment rate dropped unexpectedly in the second quarter.

Data from the Office for National Statistics showed that the unemployment rate fell to 4.2 percent in the three months to June period, while the rate was expected to rise marginally to 4.5 percent from 4.4 percent in the preceding period.

In July, pay rolled employees increased 24,000 to 30.4 million. This follows an increase of 14,000 in June.

Elsewhere, the headline German ZEW Economic Sentiment Index dropped sharply from 41.8 in July to 19.2 in August.

The pan European STOXX 600 was little changed with a positive bias at 499.48 after ending marginally lower on Monday.

The German DAX edged up 0.1 percent. France's CAC 40 was marginally lower while the U.K.'S FTSE 100 traded flat with a negative bias.

In corporate news, British automotive supplier Dowlais tumbled 4 percent after widening its pre-tax loss for the first half of the year and cutting its annual revenue outlook.

Just Group jumped 17 percent after the provider of retirement-income products and services posted a robust set of first-half results and upgraded its 2024 guidance.

Valneva jumped 4.6 percent. The French biotech company has reaffirmed its annual revenue outlook after reporting a turnaround to net profit for the first half.

German chemicals distributor Brenntag dropped 1.5 percent after lowering its full-year guidance.

Evotec rallied 4.1 percent. The drug maker announced significant advancements in its strategic partnership with Bristol Myers Squibb, focusing on developing a pipeline based on molecular glue.

As a result of performance and program-based milestones, Evotec will receive a total of $75 million in payments.

Thyssenkrupp Nucera rose over 2 percent. The global leader in electrolysis technologies reported a 12 percent increase in order intake in Q3 2024.

Meal-kit maker HelloFresh soared 9.4 percent after its second-quarter results beat estimates.