French President Macron called for snap legislative elections after the far-right National Rally Party made significant inroads in the European Union elections on Sunday.
Germany's trade surplus soared and France's trade deficit widened in April. UK home prices accelerated for the second month in a row. German industrial production dropped at a slower pace in April.
The European Central Bank lowered its three key lending rates by 25 basis points but stressed that its policy stand is likely to remain restrictive because domestic price pressures are still elevated.
European markets advanced ahead of monetary policy decisions by the European Central Banks later today. German factory orders unexpectedly fell in April. Retail sales in the eurozone fell more than expected in April. Switzerland's jobless rate held steady in May.
Producer prices in the eurozone declined on a monthly basis for the sixth month in a row due to the persistent softness in energy prices. France's industrial output rebounded in May.
European stock market indexes struggled to rise above the flatline ahead of the ECB's rate decision on Thursday. Germany's jobless rate held steady for the sixth month in a row. Total retail sales in the U.K. rose at a sharply slower pace in May.
The European Central Bank is widely anticipated to begin its rate-cut cycle with the first cut this week. Market indexes rebounded after falling sharply in the previous three consecutive weeks on the worry of resurgent inflation.
Consumer price inflation in the eurozone rebounded for the first time in five months as governments in the currency union withdrew energy subsidies. Bond yields jumped to six-month highs. The benchmark indexes in Germany trimmed monthly gains and in France turned negative.
Stock market indexes rebounded, and bond market selloffs paused in Europe. The jobless rate in the European Union dropped to a record low, but the youth unemployment rate remained near its recent high. Spain's consumer price inflation accelerated for the third month in May.
The global bond market selloff dragged down stock market indexes in the Euro Area. The yield on the 10-year German Bund approached a six-month high. The Japanese yen approached a record low against the euro on the worry that the wide interest rate differential is likely to persist.
European markets advanced in thin trading, and investors looked ahead to the release of the eurozone's consumer price inflation data later in the week.
Germany's economic growth in the first quarter was confirmed at 0.2%, driven by a rebound in exports and investments. Poor weather and weak consumer demand negatively impacted the UK's retail sales.
European markets rebounded and semiconductor-related stocks advanced after Nvidia reported strong quarterly results. Private sector activities in the eurozone rose to a one-year high, driven by rising orders.
