European Stocks Fail To Hold Early Gains, Close Broadly Lower

(RTTNews) - European stocks failed to hold early gains and closed lower on Monday as investors largely stayed cautious ahead of key U.S. inflation data, and other economic reports from the U.S. and Europe.

Several Federal Reserve officials said last week that U.S. interest rates are likely to remain at elevated levels until there is clear sign that the rate of inflation is slowing.

Investors looked ahead to Fed Chair Jerome Powell's speech due this week for additional clarity on the Fed's rate trajectory.

China's consumer inflation rose for a third straight month in April, while the producer price index declined for a 19th month, data showed earlier today.

The pan European Stoxx 600 edged up 0.02%. The U.K.'s FTSE 100 ended down by 0.22%, while Germany's DAX and France's CAC 40 drifted down 0.16% and 0.12%, respectively. Switzerland's SMI ended higher by 0.12%.

Among other markets in Europe, Belgium, Greece, Iceland, Norway, Portugal, Sweden and Turkiye closed weak.

Denmark, Finland, Netherlands, Poland, Russia and Spain ended higher, while Austria ended flat.

In the UK market, BAE Systems ended down 3.2%. Anglo American Plc, Phoenix Group Holdings, Admiral Group, Spirax-Sarco Engineering, RS Group, Ocado Group, Frasers Group, Intertek Group, Howden Joinery and Bunzl lost 1.4 to 2.5%.

Diploma rallied more than 4% after the technical products supplier reported a good set of half-year results and raised its sales and earnings forecasts.

BT Group climbed 3.4%. 3i Group gained about 2.4%. Kingfisher, Whitbread, British American Tobacco, Sainsbury (J) and Smith (DS) gained 1 to 1.5%.

In the German market, Deutsche Boerse, Infineon, Zalando, Munich RE and HeidelbergCement lost 1 to 2.5%.

Porsche climbed more than 2.5%. Continental, Volkswagen, Bayer and BMW also ended sharply higher.

In the French market, Sanofi gained more than 1.5% after the drug major announced an investment of more than 1 billion euros to create new bioproduction capacity at its various sites in France.

Airbus Group, Safran, Pernod Ricard, Engie and Publicis Groupe lost 1 to 1.6%.

Teleperformance surged more than 4%. Stellantis gained about 4%, while Renault, Edenred, Carrefour, Societe Generale and Credit Agricole advanced 1 to 2%.