European stocks end mostly higher following lower-than-expected US inflation

ISTANBUL

European stock markets ended the second trading day of the week with gains, except for Germany, after the annual inflation in the US came in below market expectations in July.

The pan-European Stoxx 600 rose 0.21%, or 1.13 points, to close at 547.89.

The UK's FTSE 100 index climbed 0.2% to 9,147.81 points, and France's CAC 40 rose 0.71% to close at 7,753.42.

Italy's FTSE MIB 30 index gained 0.85% to 41,935.42 points, and Spain's IBEX 35 index slightly rose 0.02% to end at 14,859 points.

On the other hand, Germany's DAX 40 index was down 0.23% to end at 24,024.78 points.

The annual inflation rate in the US was at 2.7% in July, below the market expectation of 2.8%.

According to official figures from the Bureau of Labor Statistics, the monthly inflation rate was also at 0.2%.

Meanwhile, the world's largest wealth management fund, Norges Bank Investment Management, continued to remove Israeli firms from its portfolio on Tuesday.

As of the end of June, the fund's Israeli portfolio was worth $2.24 billion, with 61 companies.

The firm has removed a total of 17 Israeli companies from its portfolio as of Tuesday, which had a total value of $143.3 million.

On the data side, the ZEW institute's economic sentiment index in Germany dropped sharply by 18 points to 34.7 points month-on-month in August.

ZEW President Professor Achim Wambach said that financial market experts are disappointed by the announced EU–US trade deal.