European shares muted as energy stocks gain amid Mideast jitters; Fed minutes in focus

Among individual European stocks, FLSmidth & Co FLS.CO rose around 7.9% to the top of the STOXX 600 after the Danish industrial firm reported second-quarter revenue above analysts' estimates. Shares in Straumann STMN.S fell around 6.3%, making it the worst performer on the STOXX 600, after the Swiss dental implants maker announced a CEO change, overshadowing first-half results that slightly beat market expectations. Geberit GEBN.S rose 7.2% after the Swiss plumbing products maker reported better-than-expected second-quarter results. Euro zone consumer price inflation rose to 0.2% in July, in line with expectations. Meanwhile, in Britain, consumer price inflation rose to 2.9% in July from a 15-month low of 2.6% in June, data from the Office for National Statistics showed, reflecting a 13% increase in the energy price cap set by regulator Ofgem last month. The Fed's minutes, due later in the day, could provide investors fresh clues on the outlook for interest rates. The pan-European STOXX 600 .STOXX was flat at 652.36 points, as of 0933 GMT. U.S. President Donald Trump said on Tuesday that no talks were taking place with Iran and insisted the Strait of Hormuz was open, contradicting Iran's assertion that the critical waterway remained shut to shipping. Energy .SXEP was the top-performing sector, up 0.6%, tracking higher oil prices, with Brent crude LCOc1 trading at around $91 a barrel. O/R Defence stocks .SXPARO also climbed 0.4% after RBC and Barclays initiated coverage of several European defence firms, citing increased military spending and strong medium-term growth prospects. On the flip side, media stocks .SXMP fell the most, down 0.7%, with WPP WPP.L, Pearson PSON.L and Publicis Groupe PUBP.PA down between 1.5% and 0.9%. European shares hovered around a two-week low on Wednesday, as oil prices remained elevated on the back of Middle East tensions, supporting energy stocks but raising questions over inflation and growth, while investors awaited the U.S. Federal Reserve's July meeting minutes. A selloff in euro zone government bonds, which had pushed long-dated yields to their highest levels in more than a decade on Tuesday, paused as the U.S. Treasury market stabilised. Long-end sovereign yields act as an anchor for the price of nearly every other asset in financial markets, including mortgage rates. “Investors will be relieved that European stocks stabilised after bond market wobbles earlier this week,” said Dan Coatsworth, head of markets at AJ Bell. “Bond yields had jumped on fears of new inflationary pressures and what that could mean for interest rates, triggering a shift in investor risk appetite.”

European shares muted as energy stocks gain amid Mideast jitters; Fed minutes in focus

Individual stock movers

Inflation data and Fed minutes in focus

Energy and defence lead gains; media stocks lag

European stocks hover near two-week low as bonds stabilise

Related News

Estee Lauder Q4 Adjusted EPS USD 0.39 Vs. IBES Estimate USD 0.32

Smartbird Q2 FY26 net loss widens to $16.37 million; revenue turns to $2.76 million

Standard Chartered, HSBC execute first live tokenized deposit transaction on Swift blockchain ledger

CXApp amends filing, says EngineRoom deal not significant enough for separate financials, pro forma data

Energy Fuels says terbium oxide clears qualification for Japanese permanent magnet maker