European shares closed in the red as early gains motivated by better than expected inflation reports were evaporated by US-China trade talks that offered less detail than expected.
The pan-European Stoxx 600 index lost 0.3 per cent, remaining 2 per cent shy of its all-time high in February.
DUBLIN
The Iseq All-Share index ended the session down 0.02 per cent at 11,716.64.
Dalata, the owner of the Maldron and Clayton Hotel brands, had a good day, rising 0.79 per cent to €6.38. Last week, the board of Dalata Hotel Group rejected a €1.3 billion bid from the Nordic Pandox consortium, which had tabled a €6.05 a share, non-binding cash offer.
Home builders tried to keep the index positive following the announcement of a rewrite of rental regulations, which will allow exemptions from existing rental rules for new tenancies and new-build apartments.
Cairn Homes shot up 3.18 per cent to €2.27, Glenveagh Properties added 1.22 per cent to its share price to reach €1.83, and insulation specialist Kingspan Group jumped 0.32 per cent to €77.8. Ires Reit fell among the group, dropping 0.37 per cent to €1.08.
The banking sector had a mixed day. Permanent TSB rose 1.37 per cent to €1.86, Bank of Ireland marginally rose 0.16 per cent while AIB declined 0.29 per cent.
LONDON
The benchmark FTSE 100 closed 0.1 per cent higher, sitting about 45 points away from its all-time highs. The mid-cap FTSE 250 also ended 0.2 per cent higher.
Setting out day-to-day budgets for Government departments from 2026 to 2029 and investment plans out to 2030, British finance minister Rachel Reeves prioritised spending on health, defence and infrastructure projects to drive economic growth.
An index for aerospace and defence shares closed 0.7 per cent higher.
Reeves also announced an additional £10 billion investment to build thousands more homes in England. Home builders and household goods stocks gained 1.5 per cent.
On the downside, industrial metal miners slipped 1 per cent tracking falling copper prices.
Ibstock sank 15.6 per cent to the bottom of the FTSE 250 after the bricks and concrete producer issued a warning of a hit to its adjusted Ebitda outlook for 2025.
Ricardo shares jumped 27.8 per cent after Canada-based WSP Global said it would acquire the British environmental and engineering consulting firm.
EUROPE
The European benchmark closed 0.3 per cent lower – it’s third straight day of losses.
The pan-European STOXX 600 had risen following a cooler-than-expected US inflation report that eased tariff-related concerns and bolstered hopes for the Federal Reserve to cut rates.
The biggest catalysts for European markets are increased defence spending and the European Central Bank cutting borrowing costs. However, ECB officials have indicated that the easing cycle will come to an end. Traders are pricing in just one more rate cut by the tail-end of this year.
On the markets side,
retailers led the decline, sinking 1.7 per cent due to a 4.4 per cent drop in Inditex after the Zara owner missed first-quarter sales forecasts.
NEW YORK
The S&P 500 and Nasdaq were trading near record levels in mid afternoon trading, with the S&P 500 about near all-time highs touched in February, and the Nasdaq just below its record peaks reached in December.
Data showed consumer prices increased only marginally in May, but inflation is expected to accelerate in the coming months due to the Trump administration’s import tariffs.
Annually, headline inflation stood at 2.4 per cent, lower than the 2.5 per cent rise estimated by economists polled by Reuters.
A day after officials from Washington and Beijing agreed on a framework to put their tariff truce back on track, President Donald Trump said the US deal with China was done, with Beijing to supply magnets and rare earth minerals.
Tesla advanced as signs of a thaw in hostilities between CEO Elon Musk and Trump emerged following an abrupt rift that had roiled the electric-vehicle maker’s shares.
Shares of video game retailer GameStop fell after it reported a decline in first-quarter revenue.
Intel shares fell, after gaining 7.8 per cent in the previous session. – Additional reporting: Reuters, PA.
