Inflation shock causes European shares to lose for the fifth day

European shares fell for the fifth consecutive session Monday, June 13, weighed down by economic-sensitive stocks, as the sharp rise in US inflation raised concerns about the US Federal Reserve’s sharp increase in interest rates.

The pan-European Stoxx 600 index was down 1.1% by 07:12 GMT, hitting its lowest level in one month.

Asian shares fell more than 2%, also affected by fears of the Corona virus in Beijing.

Stock markets received cues from a massive sell-off on Wall Street on Friday after data showed that the US consumer price index rose 8.6% in May, its biggest increase since 1981.

The travel and leisure sectors, automakers, and oil and gas led the morning losses in Europe amid fears of a global economic slowdown.

Shares of Eurozone banks fell 2.8% on disappointment that the European Central Bank did not reveal any instrument to support external bonds at its meeting last week.