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Europe Markets: European stocks slip as inflation falls, U.K. election nerves set in

European stock markets closed mostly lower Wednesday, as investors digested the latest bout of uncertainty surrounding the U.K. election and assessed a sharper-than-expected fall in eurozone inflation.

The Stoxx Europe 600 index SXXP, -0.13% edged down 0.1% to end at 389.99, for a fifth straight session of losses. The benchmark on Tuesday fell 0.2% as bank stocks declined on concerns over a potential early election in Italy.

For the month, however, the Stoxx 600 registered a 0.8% gain.

“Markets are wilting slightly at the moment. There’s nothing sinister around, but it does feel like there is a slight loss of confidence as data momentum is stalling a touch and politics continues to be unpredictable,” said Jim Reid, strategist at Deutsche Bank, in a note.

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