European stocks rise ahead of inflation data, central bank meetings

World stocks were below 13-month highs but up 0.2% to 0.8%, as investors waited for US CPI data due on Tuesday and key inflation data, as well as US Federal Reserve and European Central Bank meetings later in the week. The European Central Bank is, however, expected to raise rates by 25 basis points on Thursday. Although the US dollar index was down, the Bank of Canada and the Reserve Bank of Australia’s surprise rate hikes had prompted investors to increase speculation that central banks will prolong their tightening cycles.