Europe’s stock markets sank on Wednesday, the final day of the second quarter, as investors shrugged off gains elsewhere to track easing eurozone inflation and lingering coronavirus concerns. “Europe turned negative, reflecting continued uncertainty about lots of things, not least a degree of caution on the last day of the quarter,” noted analyst Neil Wilson at trading site Markets.com. Frankfurt dived 0.9 percent and Paris dropped 0.8 percent in early afternoon deals, as data showed inflation in the single currency bloc fell back slightly in June to 1.9 percent. The rate however remains not far from May’s 2.0 percent, which had been the highest level since October 2018. “After dipping below in June, eurozone inflation is likely to rise again in the coming months,” said Capital Economics analyst Andrew Kenningham. “But we think it will drop back early next year and remain low beyond that.” On edge over inflation Nevertheless, investors remain on edge over a possible global inflation spike, as pent-up demand in reopening economies sparks upward price pressures.