European markets open to close, earnings, data and news

Sweden’s central bank launches 100 basis point rate hike, says ‘inflation is too high’

Sweden’s Riksbank on Tuesday launched a 100 basis point hike to interest rates, taking its main policy rate to 1.75%, as it warned that “inflation is too high.”

In a statement, the central bank said soaring inflation was “undermining households’ purchasing power and making it more difficult for both companies and households to plan their finances.”

Read more here.

– Elliot Smith

German producer prices soar 45.8% year-on-year in August

German producer price inflation hit 45.8% year-on-year in August, the federal statistics office said on Tuesday, driven by soaring energy prices.

The reading vastly outstripped a Dow Jones consensus forecast of 37.9%, while on a monthly basis, the producer price index rose 7.9% against a forecast of 1.6%.

The PPI reading excluding energy, however, was 0.4% on the month and 13% on the year.

– Elliot Smith

Stocks on the move: Bachem Holding up 13%, Future down 12%

There were some big share price moves in early European trade. Swiss biotech company Bachem Holding surged 13% to lead the Stoxx 600 after signing two new peptide contracts.

British media company Future PLC plunged more than 12% after Sky News reported on Monday that CEO Zillah Byng-Thorne intends to step down in 2023.

– Elliot Smith

CNBC Pro: Fund manager says the bear market is going to get ‘nasty’

Fund manager Cole Smead believes the stock market is still in the early innings of a bear market – and warns that it won’t be a “garden variety” one.

But, he is not losing any sleep over it. Here’s why:

Pro subscribers can read more here.

– Zavier Ong

Stocks finish Monday’s volatile session higher

Stocks seesawed on Monday but ended the session in positive territory as a big Federal Reserve week kicked off.

The Dow Jones Industrial Average closed 197.26 points higher, or 0.64%, to settle at 31,019.68. The S&P 500 jumped 0.69% to 3,899.89 and the Nasdaq Composite gained 0.76% to 11,535.02.

– Samantha Subin

CNBC Pro: Goldman says copper demand is about to surge. Here are the stocks it expects to benefit

A copper deficit could be on the horizon, with demand set to surge on the push toward net zero – and some metal stocks could shine in this scenario, according to Goldman Sachs.

CNBC Pro subscribers can read more here.

– Weizhen Tan

European markets: Here are the opening calls

European stocks are expected to open in negative territory on Wednesday as investors react to the latest US inflation data.

The UK’s FTSE index is expected to open 47 points lower at 7,341, Germany’s DAX 86 points lower at 13,106, France’s CAC 40 down 28 points and Italy’s FTSE MIB 132 points lower at 22,010, according to data from IG.

Global markets have pulled back following a higher-than-expected US consumer price index report for August which showed prices rose by 0.1% for the month and 8.3% annually in August, the Bureau of Labor Statistics reported Tuesday, defying economist expectations that headline inflation would fall 0.1% month-on-month.

Core CPI, which excludes volatile food and energy costs, climbed 0.6% from July and 6.3% from August 2021.

UK inflation figures for August are due and euro zone industrial production for July will be published.

– Holly Ellyatt

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