Europe close: Stocks ease back

European stocks slipped further on Wednesday despite the release of stronger-than-expected monthly retail sales figures in the US.

The pan-European Stoxx 600 index fell 0.98% to 430.17, with the German Dax off by 1.0% at 14,234.03 and Spain's Ibex 35 retreating by 1.06% to 8,101.40.

Investigations were also still ongoing into a missile hit that killed two persons in a Polish village near the border with Ukraine.

US President Joe Biden said it was unlikely that the missile strike on Poland came directly from Russia.

"I don't want to say until we completely investigate. It is unlikely in the lines of the trajectory that it was fired from Russia, but we'll see," Biden said. Later reports suggested the missile was a Ukrainian defensive weapon that had landed on a Polish farm.

The news lifted weapons makers like BAE, Thales, Leonardo and Dassault. On the flip side budget airlines with routes to eastern Europe, such as Hungary-based Wizz Air were sold off.

In the UK, data showed consumer price inflation rose 11.1% in October year-on-year, up from 10.1% in September and the highest rate since 1991. Most analysts had been expecting CPI of around 10.7%.

The rate was pushed higher by higher gas and electricity costs - despite the introduction of the Energy Price Guarantee - and rising food prices.

Shares in Carnival sank 14% after the cruise operator announced plans to raise $1bn with convertible senior notes to make principal payments on debt and for general corporate purposes.