European shares edge higher after bonds-driven selloff, focus on inflation data
EWG•The pan-European STOXX 600 rose 0.4% to 629.18 points after falling 1.3% on Thursday, as investors awaited euro zone inflation data and the U.S. jobs report.
1. Investors await data
European shares edged higher after a sharp selloff driven by a bond market rout. The STOXX 600 had touched its lowest level in more than three months on Thursday as global government bond yields reached multi-year highs. Euro zone flash inflation data and U.S. nonfarm payrolls were due later Friday; forecasts centered on 90,000 jobs added in September.
2. Banks and stocks fall
European banking stocks were on track for their worst weekly performance since April, amid concerns that higher interest rates could hurt the economy. Commerzbank fell 2% after RBC downgraded its rating to “sector perform” from “outperform.” Puma declined 1.2% after Nike projected a steep drop in full-year revenue.
