London remains flat despite Nvidia boost

European stock markets opened in the green today, driven by strong performance from Nvidia. However, the FTSE 100 was down, weighed down by the announcement of a general election in July by Prime Minister Rishi Sunak. Underlying concerns about inflation and interest rates also weigh on investor sentiment.

Nvidia's better-than-expected earnings have significantly boosted semiconductor stocks across Europe. Shares of companies like ASML, Infineon, and ASM saw increases ranging from 1.5% to 2.4%. 

Despite the positive market sentiment, concerns about inflation in the U.S. and potential interest rate hikes by the Federal Reserve remain. The Fed's latest meeting minutes revealed disappointment over the slow decline in inflation, suggesting that further rate increases might be necessary.

The FTSE 100 was down 0.1% this morning, as investors also weighed the implications of the upcoming July 4 general election.

Among stocks, National Grid's shares fell by 8.9% after announcing a £7 billion rights issue to fund a £60 billion investment in energy infrastructure. Rolls-Royce and Natwest also saw declines, while Wizz Air and Hargreaves Lansdown experienced significant gains.  

Investors are closely monitoring upcoming economic indicators, including preliminary PMI readings for Europe and the U.S., and wage data from the Eurozone. 

Things to read today:

• The threat of Trump-style inflation and a Fed war (Project Syndicate).
• Initial feedback on the Neuralink implant (Wired).
• Londoners' love of fried chicken now includes champagne (Bloomberg).
• Citi pays for 2022's big finger (Wall Street Journal).