European shares rise slightly after bank stocks rally‘PEAK INFLATION’: When inflation passes its highest in Europe, pressure on long bond yields would ease, although the market would change, an analyst saidReutersEuropean shares on Friday rose slightly after sluggishness early in the day as a rally in bank stocks helped outweigh worries about economic growth and inflation, with Europe facing a deadline to start paying for Russian gas in rubles. Russian President Vladimir Putin threatened to cut off gas supplies unless paid in local currency from Friday — a move that could exacerbate an energy crunch in the continent as Russian gas imports account for about 40 percent of Europe’s consumption. “The key question for Q2, maybe even Q3, is when are we going to get the peak inflation,” Joshi said. Technology stocks were one of the worst performers in the first quarter on inflation worries, down 17 percent. Analysts said that inflation would put pressure on the European Central Bank (ECB), which has thus far been reluctant to lift interest rates.

Source: Taipei Times April 02, 2022 20:45 UTC