European Stocks Close Higher Despite Fed Chair’s Hawkish Tone At Jackson Hole

European stocks closed higher on Friday as investors digested regional economic data and assessed Federal Reserve Chair Kevin Warsh’s speech at the Jackson Hole Economic Symposium.

Warsh’s tone was hawkish as he noted that inflation remains elevated and there might be a need to tighten policy if inflation does not show signs of easing.

Following Warsh’s remarks, the chances the Fed will raise interest rates by a quarter point next month have jumped to 59.5% from just 35.4% yesterday, according to CME Group’s FedWatch Tool.