European markets gained for the second day in a row and bond yields advanced. UK retail sales dropped the most in nearly three years in December, raising the prospect of a technical recession. The German producer prices declined for the sixth month in a row, largely because of a fall in energy prices.
European stock markets rebounded and bond yields edged higher after investors reviewed the latest business activity surveys in the region. Consumer price inflation in France rose at a faster pace in December, and regional inflation in Germany showed an accelerating inflation trend across the nation.