Equity, bond and currency markets struggled for direction on Tuesday, as traders held back from bets ahead of US retail sales data that could rekindle concerns about high rates of inflation becoming entrenched.
Europe’s regional Stoxx 600 share index was up 0.2 per cent, eking out its latest record high as a rally in energy shares added to gains notched up during a better than expected quarterly earnings season.
The FTSE 100 in London drifted 0.1 per cent lower and futures contracts tracking Wall Street’s S&P 500 index were steady.
Later on Tuesday, US retail sales data will provide more clues about the strength of the world’s largest economy and may firm market expectations about when the Fed will raise interest rates for the first time, after tethering them close to zero in March 2020.
Economists polled by Reuters expect to see that sales rose by 1.4 per cent in October from the previous month, owing to strong household savings, resurgent demand and a rush for Christmas…