European stocks open higher as markets turn to Fed, U.S. inflation; UK wage growth holds at 6%

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European stocks opened higher Tuesday as investors look ahead to the U.S. Federal Reserve’s next meeting and U.S. inflation data.

LONDON — European stocks opened slightly higher Tuesday as investors look ahead to the Federal Reserve's next meeting and U.S. inflation data.index shook off Monday's negative sentiment to trade 0.2% higher in early deals, with most sectors bouncing back into the green. Retail stocks led gains, up 0.6%, as mining slid 1%.set to raise £166 million showed the number of payrolled employees was up 0.6% year on year in May, but the unemployment rate ticked higher to 4.4% from 4.

Annual growth in wages excluding bonuses held at 6% over the three months from February to April, presenting a potential concern for the Bank of England as it considers when to reduce interest rates.Sign up for NBC New York newsletters. "What the Bank of England crucially wants to see is wage inflation fall more than it has, especially with the headline rate of inflation very much near target," Richard Carter, head of fixed interest research at Quilter Cheviot, said in a note."The BoE will be incredibly cautious to cut rates at a period when spending power is high for consumers and potentially triggering a fresh inflationary bout.

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