The French market is higher in afternoon trading Tuesday, as investors remained optimistic about policy actions from central banks to support the economy and data showed that Eurozone producer price inflation eased to the lowest level in more than two years in May.
The Euro Stoxx 50 index of eurozone bluechip stocks is adding 0.36 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, is gaining 0.35 percent.
The CAC 40 index is currently advancing 0.10 percent.
Peugeot is gaining 4.1 percent. The car maker is said to be planning to axe as much as 10 percent of its French workforce this year, higher than its earlier announcement. Renault is gaining 1.7 percent.
Societe Generale is advancing 1.1 percent and Credit Agricole is gaining 0.8 percent. However, BNP Paribas is losing 0.9 percent.
Builders Vinci and Bouygues are declining 2 percent and 1 percent, respectively.
Nomura initiated Schneider Electric with a "Neutral" rating. The stock is up 0.5 percent.
Elsewhere in Europe, the German DAX is adding 0.55 percent and the UK's FTSE 100 is gaining 0.25 percent. Switzerland's SMI is gaining 0.60 percent.
In economic news from the eurozone, the producer price inflation in the domestic market eased to 2.3 percent in May from 2.6 percent in April. This is the weakest rate since March 2010. On a monthly basis, the producer price index fell 0.5 percent, following a 0.1 percent gain in the preceding month.
The subdued inflation figures have fueled hopes for an interest rate cut by the European Central Bank in the upcoming meeting on Thursday.
Across Asia, markets ended in the green. China's Shanghai Composite Index gained 0.1 percent, Hong Kong's Hang Seng climbed 1.5 percent and Japan's Nikkei 225 rose 0.70 percent. Australia's All Ordinaries slipped 0.15 percent.
In the U.S., futures point to a mixed open on Wall Street. In the previous session, the major averages bounced back and forth across the unchanged line before ending the session mixed. The Dow edged down 0.1 percent, while the Nasdaq rose 0.6 percent and the S&P 500 crept up 0.3 percent.
In the commodity space, crude for August delivery is adding $1.67 to $85.42 per barrel and August gold is gaining $12.6 to $1610.3 a troy ounce.
by RTT Staff Writer
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