Daily Times

European equities and the euro rose Wednesday as eurozone inflation slowed but remained elevated on high energy costs.

Markets were also buoyed by hopes that China will further ease its strict Covid containment measures following widespread protests, though gains were tempered by leaders’ warnings of a crackdown on dissent. Traders were awaiting a key speech by Federal Reserve chief Jerome Powell, with many expecting him to outline plans for future interest rate hikes to tackle high US consumer prices. Eurozone inflation eased to 10 percent in November, the first drop in 17 months but holding in double figures, the EU statistics agency said. European Central Bank president Christine Lagarde has expressed scepticism that inflation has peaked. “The ECB is still increasing (interest) rates and this is what traders are focused on,” AvaTrade analyst Naeem Aslam told AFP, in reference to market reaction following the data.