European markets closed higher on Wednesday to finish a strong month, as regional investors reacted to the latest inflation data from the euro zone in November.
European markets
The pan-European Stoxx 600 closed up 0.6%, totaling a monthly gain of around 6.1%.
Household goods added 2.3% to lead gains as almost all sectors and major bourses traded in positive territory. Chemicals bucked the trend, down 0.2%.
New data out Wednesday showed that euro zone inflation dropped by more than expected in November, fueling market hopes that record-high price growth across the bloc has peaked and the European Central Bank will begin slowing its interest rate hikes next month.
Elsewhere overnight, Asia-Pacific shares were mostly higher on Wednesday even as the reading for China's November factory activity fell short of expectations, dropping to the lowest reading since April.
Chinese health officials on Tuesday announced measures to boost vaccination among the elderly, an indicator seen as important for reopening the economy. When asked if recent unrest would lead to a shift in its zero-Covid policy, they said they were "closely watching the virus" for developments.
The Dow Jones Industrial Average fell Wednesday as Wall Street waded through new economic data and awaited an afternoon speech on the economy from Federal Reserve Chair Jerome Powell.