European stocks rose on Tuesday after moderate U.S. inflation data bolstered bets that the Federal Reserve will refrain from raising interest rates this week. Mining stocks increased as metal prices rose following China's interest rate cuts. The Stoxx 600 index closed up 0.6%.
U.S. consumer prices recorded a modest increase in May and the lowest annual inflation rate in over two years, reinforcing expectations that the U.S. central bank will keep interest rates unchanged on Wednesday.
The technology sector index gained 1.4%, while mining stocks jumped 2.7% to a seven-week high. Danish shipping company Maersk's shares surged 4.6% after it secured fuel for the first carbon-neutral methanol-operated container ship on its maiden voyage from South Korea to Denmark.
Conversely, shares of Admiral fell 5.1% after traders stated that Citi downgraded the British car and home insurance company.
