European stocks head for uncertain open after hotter-than-expected U.S. inflation data

• European stocks are expected to open flat to lower on Thursday as global markets digest the latest U.S. inflation data which showed faster-than-expected price rises.
• The U.K.'s FTSE index is seen opening 4 points higher at 7,318, Germany's DAX 43 points lower at 16,019, France's CAC 40 down 22 points at 7,021 and Italy's FTSE MIB 83 points lower at 27,304, according to data from IG.

European stocks are expected to open flat to lower on Thursday as global markets digest the latest U.S. inflation data which showed faster-than-expected price rises.

The U.K.'s FTSE index is seen opening 4 points higher at 7,318, Germany's DAX 43 points lower at 16,019, France's CAC 40 down 22 points at 7,021 and Italy's FTSE MIB 83 points lower at 27,304, according to data from IG.

Global markets are digesting the latest U.S. inflation data released on Wednesday which showed that October's consumer price reading jumped at the hottest annual pace in more than three decades.

The consumer price index jumped 6.2% from a year ago, well above the 5.9% estimate from economists polled by Dow Jones. On a monthly basis, the CPI increased 0.9% against the 0.6% estimate.

Major indexes on Wall Street fell following the inflation data release while U.S. Treasury yields climbed. The yield on the benchmark 10-year Treasury note last stood at 1.5699%. Yields move inversely to prices.

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Following the CPI data, traders moved up their expectations for when the first Fed rate hike would occur. The Fed funds futures market now sees greater odds of the central bank's first full rate hike coming in July 2022.

Asia-Pacific stocks were mixed in Thursday trade after the U.S. data, while U.S. stock futures were steady in overnight trading on Wednesday.

Earnings in Europe on Thursday come from Bilfinger, Delivery Hero, Merck, RWE, Siemens, Aviva, Tate & Lyle and Burberry, among others. Data releases include the latest U.K. gross domestic product data for the three months to September and U.K. industrial output for September.

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– CNBC's Maggie Fitzgerald contributed to this market report.

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