Euro stocks dip as weak Chinese data darken recovery outlook
European stocks were seen trading lower on Wednesday, with weak Chinese data fueling worries about the global economic recovery.
An influx of economic data from China earlier on Wednesday indicated that the world’s second-largest economy, and the primary driver of growth in the region, slowed down in August due to COVID-19 outbreaks and disruptions in supply chains.
Germany’s DAX futures contract held flat at 2:05 AM ET (0605 GMT), while the French CAC futures 40 shed 0.5%, and the U.K.’s FTSE 100 futures took a 0.6% loss.
Retail sales experienced a 2.5% growth year-on-year, a noticeable decline from July’s 8.5% growth and the slowest pace since August 2020. Industrial output increased 5.3% year on year, the sector’s weakest pace since July 2020.
Meanwhile, consumer prices in the U.K. rose 3.2% on the year in August, a sharp increase from July’s 2.0%, adding pressure to the Bank of England to consider pulling back its monetary stimulus.