European markets edged slightly higher on Tuesday as investors assessed new economic indicators pointing to a gradual easing of inflationary pressures across parts of the eurozone.
Market participants reacted cautiously to data suggesting that while price growth has slowed in some sectors, underlying economic challenges remain. Analysts noted that consumer spending continues to face pressure from elevated living costs, even as energy prices stabilise.
Attention has also turned to central bank policy, with investors closely monitoring signals from policymakers on the future path of interest rates. Several economists expect rates to remain restrictive in the near term as authorities seek to balance inflation control with economic growth.
Business leaders across Europe have called for clearer policy guidance, warning that prolonged uncertainty could dampen investment decisions and hiring plans in key industries.