LONDON — European stocks were uncertain on Thursday as investors appeared to brush off concerns about rampant inflation.
The pan-European Stoxx 600 slid 0.1% in early trade, having initially opened in positive territory. Health care stocks fell 0.7% to lead losses while travel and leisure gained 0.9%.
Shares of Swiss online pharmacy Zur Rose Group rose 6% to lead the Stoxx 600 in early trade after a strong earnings report.
French industrial company Soitec plunged more than 14% to the bottom of the index after announcing that senior Atos executive Pierre Barnabe will succeed outgoing CEO Paul Boudre.
Global markets have been focused on rising U.S. bond yields and earnings this week. Inflation data is also center-stage; on Wednesday, data released by the U.K. showed the inflation rate soared to a 30-year high in December hitting 5.4% with higher energy costs, resurgent demand and supply chain issues continuing to drive up consumer prices.
Inflation concerns have dominated markets around the world in recent months and investors are nervous over the U.S. Federal Reserve’s trajectory for hiking interest rates and tightening its ultra-loose pandemic-era monetary policy.
U.S. markets encountered another choppy trading session on Wednesday as investors remained cautious amid rising rates, with the Nasdaq dipping into correction territory.
This year’s turbulence in tech stocks, set off by a spike in yields in the first week of January, continued Wednesday as the 10-year U.S. Treasury yield hit a high of 1.9%. It started the year at about 1.5%. The yield on the 30-year Treasury bond fell 2 basis points to 2.167%. Yields move inversely to prices.
Enjoyed this article?
For exclusive stock picks, investment ideas and CNBC global livestream
Sign up for CNBC Pro
Start your free trial now
— CNBC’s Tanaya Macheel contributed to this market report.