“European Stocks Rise as Investors Evaluate Economic Data Amid US Debt and Turkish Elections”

(Reuters) – European stocks rose on Monday as investors assessed uncertainty surrounding the U.S. debt ceiling talks and elections in Turkey, and analyzed data for clues to the state of the global economy.

The European index closed 0.3 percent higher, after hitting a two-week high during the session.

The index has moved in a largely narrow range this month as investors seek hints about how long major central banks will continue to raise interest rates to curb inflation.

Banking stocks rose in general, but Spanish BBVA, one of the most exposed European banks to Turkey, fell 4.2 percent as the country’s presidential elections headed for a second round.

The data showed that the wholesale price index in Germany fell slightly in April, the first annual decline since December 2020, while another batch of data showed that consumer prices in Sweden fell more than expected in April.

Meanwhile, industrial production for the region fell much more than expected in March.

Investors are also watching developments around the US debt ceiling talks between President Joe Biden and Republican House Speaker Kevin McCarthy this week, hoping to find consensus on spending levels.

Among the biggest gainers was AXA, the second largest insurer in Europe, which rose 2.4 percent.

Biotechnology company Evoteq jumped 4.7 percent.

(Prepared by Doaa Muhammad for the Arabic Bulletin)