FTSE up 0.66%; DAX up 0.63%; CAC 40 up 0.71% (Il Sole 24 Ore Radiocor) - London, 11 Jul - European shares closed higher after US inflation slowed further in June, rising hopes for a rate cut by the Federal Reserve later this year.

Both US headline and core consumer-price inflation eased more than expected last month. This comes after dovish comments from Federal Reserve chair Jerome Powell over the last two days had spurred optimism over a soft landing for the US economy.

Back in Europe, data showed that German consumer prices rose 0.1% in June on the previous month and grew 2.2% year on year, according to a final reading by the statistics office Destatis. Harmonised consumer prices, calculated for European Union purposes, grew 0.2% on the previous month and 2.5% year on year. The final data confirmed the preliminary readings.

Caution prevailed in the region amid prospects of a hung parliament in France after a surprise win last Sunday for the country's leftwing coalition, the New Popular Front (Nouveau Front Populaire). The bloc won the second round of the general election, thwarting an expected surge of the far-right, but failed to secure an absolute majority.

The London FTSE 100 closed up 0.36% at 8,223.34 points, the Frankfurt DAX added 0.63% at 18,533.15 points, the Paris CAC 40 gained 0.71% at 7,627.13 points, while in Milan the FTSE MIB rose 0.03% at 34,318.11 points, and in Madrid the IBEX 35 closed 0.97% higher at 11,178.89 points.

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(RADIOCOR) 11-07-24 18:04:03 (0574) 5 NNNN