European markets underwent yet another lacklustre session yesterday, despite a new record high for the DAX, while markets in the US also rolled over, eventually finishing lower after another pretty choppy and directionless session.
Markets appear caught between concerns over rising cases and the spread of the India variant of coronavirus, and optimism over the so-called reopening trade, making it difficult to read the direction of the next move.
This paralysis of indecision is likely to see markets here in Europe open lower this morning as we look ahead to the latest CPI inflation numbers from the UK and EU.
One of the main worries that has been creating volatility in financial markets this past few weeks has been the potential for a sharp rise in inflationary pressures. These concerns have started to gain ever more traction after big surges in US and Chinese inflation last week.
Today it’s the UK economy’s turn to come under scrutiny with the latest CPI numbers for April.
Concerns about rising price pressures have served to push UK…
