Europe close: Stocks end flat as investors monitor US debt talks

European markets were little changed on Wednesday amid what appeared to be slightly positive headlines around the US debt ceiling negotiations.

The pan-European Stoxx 600 index was down 0.15% to 463.98, alongside a 0.34% rose on the German DAX to 15,951.30.

France's Cac-40 and the FTSE Mib on the other hand drifted a smidgen lower.

Overnight, US House of Representatives speaker, Kevin McCarthy said his party's position on the debt ceiling remained far apart but on Wednesday he told CNBC that a deal was ultimately doable.

Quad leaders cancelled a planned meeting in Sydney next week as Biden cut his Asia trip short to return to Washington for more talks.

Oil prices rose even after a surprise rise in US crude inventories stoked demand concerns on the heels of weaker-than-expected economic data from the America and China.

Brent crude futures gained 2.1%, to $77.01 a barrel.

In economic news, eurozone inflation reached 7% in April, official data showed on Wednesday, in line with expectations.

According to Eurostat, the statistical office of the European Union, annual inflation - as measured by the harmonised index of consumer prices - was 7% last month, up from 6.9% in March. April’s figure matched both consensus and earlier estimates.

Across the wider bloc, annual inflation eased to 8.1% from 8.3% in March.

Shares in Commerzbank fell 4% after the German bank posted better-than-expected first-quarter results, with net profit having nearly doubled.

JD Sports Fashion shares were 4% lower as a fall in pre-tax profits disappointed investors.