Europe midday: Stocks lower but in holding pattern ahead of US CPI

Stocks were holding lower come midday with traders expectant ahead of what could be a key report on US consumer prices due out later in the day.

"European markets have spent most of this week treading water ahead of today’s US CPI report, which could act as a significant bellwether to how much more aggressive the Federal Reserve is likely to be when it comes to rate hikes if the Fed, as expected hikes by 75bps at the end of the month," said Michael Hewson, chief market analyst at CMC Markets UK.

As of 1307 BST, the pan-European Stoxx 600 was down by 0.73% to 414.01, alongside a 0.92% decline on the German Dax to 12,787.15.

In parallel, euro/dollar was up 0.3% at 1.0067 as traders bid their time ahead of the US price data.

Front-dated Brent crude oil futures meanwhile were edging up 0.19% to $99.68 a barrel on the ICE.

At 1330 BST, the US Department of Labor was scheduled to release the Consumer Price Index for the month of June.

Consensus was for an acceleration in the year-on-year rate of headline CPI from 8.6% to 8.8%, although at the core level price gains were expected to dip from 6.0% to 5.8%.

After the close of markets in London meanwhile, at 1900 BST, the US central bank was due to release its closely-followed Beige Book.

There was little in terms of euro area economic data scheduled for release, although the national statistics offices of France, Germany and Spain did confirm preliminary readings for harmonised CPI in June in their respective countries.