Source: Sharecast
The pan-regional Stoxx 600 index was up 0.42% at 554 at 1140 BST. France’s CAC 40 was up 0.5% amid continuing political turmoil over the government’s planned austerity budget.
“Sentiment could turn sour if today’s (US) inflation snapshot comes in higher than expected. The headline rate is expected to come in at 2.9% but the real number to watch will be core CPI, which strips out volatile food and fuel prices,” said Hargreaves Lansdown analyst Susannah Streeter.
“It's broadly expected to be stable, coming in at 3.1% on an annual basis, but if it ticks higher month to month, it could put the cat among the pigeons.”
In France, President Emmanuel Macron appointed Sébastien Lecornu as his fifth prime minister in two years after a vote of confidence ousted François Bayrou.
"Markets appear relieved at the prospect of stability after recent political turbulence, though challenges lie ahead as Lecornu must navigate a divided parliament to secure passage of the 2026 budget. The failure of his predecessor’s austerity push signals that compromise will be needed, but for now, investors are focusing on the near-term boost to sentiment rather than the longer-term fiscal risks," said Rostro analyst Joshua Mahony.
Investors were also assessing reports that US President Donald Trump had asked the European Union to hit China and India with tariffs of up to 100% over their purchases of Russian oil, as he tries to pressure Moscow to end its war on Ukraine.
Oil prices rose as Israel once again attacked an external sovereign state, this time bombing targets in Qatar, claiming it was targeting leadership of the militant Hamas group.
In equity news, shares in Inditex rose after the fashion retailer released interim results and sai sales had picked up between August 1 and September 8 after months of poor demand.
Primark owner Associated British Foods slumped after a trading update.
Novo Nordisk rose after the Danish pharma company said it could cut about 11.5% of its workforce as the company struggles to remain competitive in the weight-loss drug market.
Alstom gained after the French train maker struck a $1.17bn deal with NJ Transit in the US.
Puig slipped as the Spanish beauty company reported interim results.
Reporting by Frank Prenesti for Sharecast.com