Investors track data, Fed minutes

The Stoxx 600 continues to trade at 3-month highs

The Stoxx 600 index extended its rally in afternoon trade, reaching its highest level since August 19.

Gains were led by mining stocks up 1.8%, travel stocks up 1.5% and technology and retail stocks, both up 0.4%.

Despite recent gloomy economic data, low consumer confidence and a rise in the cost of living in Europe, markets were brighter after reading lower-than-expected inflation in the US, which expected a slower rate of interest rate hikes.

Meanwhile, the purchasing managers’ index in the euro zone, released on Wednesday, improved slightly from the previous month.

Banking group Unicredit said the reading “dispels fears of a sharp recession and is consistent with a mild technical downturn earlier in the year.”

— Jenny Reid

Stocks open slightly higher on the last trading day of the week

At the open on Wednesday, stocks were up in the last trading day of the week. Markets close on Thursday for Thanksgiving and close early on Friday.

The Dow Jones industrial average rose 98 points or 0.29%. The S&P 500 gained 0.27% and the Nasdaq Composite gained 0.45%.

– Carmen Reinik

Stocks on the move: Nemetschek rose 7%, Endesa fell 6%

Shares Nemetchek was up 7.5% by midday after the German software company launched a new cloud-based service on Tuesday.

At the bottom of the index, Spanish energy company Endesa fell more than 6% after new 2023-24 targets failed to excite analysts.

BATR: The real risk that European companies will not be able to withstand the debt burden

BATR: The real risk that European companies will not be able to withstand the debt burden

Beata Jaworczyk, EBRD Senior Economist, discusses the European Bank’s Energy Transition Report for 2022-23.

CEO of Swiss pension fund says he ‘doesn’t believe’ Credit Suisse restructuring

The director of the Swiss pension fund says that he will restructure Credit Suisse

The UBS strategist says the recession will likely be an inch deep but a mile wide

The UBS strategist says the recession will likely be an inch deep but a mile wide

Bhanu Baweja, chief strategist at UBS Investment Bank, talks to CNBC’s “Squawk Box Europe.”

Goldman Sachs: Energy crisis pushes eurozone into ‘deep’ recession

Goldman Sachs: The energy crisis has plunged the euro zone into recession

Sven Jari Sten, Goldman Sachs’ chief European officer, says the energy crisis is pushing the eurozone into a “very slow” recession next year. However, he adds that the region is “roughly” at peak inflation and that price rises will be closer to 3% next year.

Yogi Dewan says it is a good time to invest when asset prices are low enough

Yogi Dewan says it is a good time to invest when asset prices are low enough

Yogi Dewan of Hasium Asset Management says it’s a good time to invest when asset prices are low enough.

Eurozone PMIs point to recession, but easing slowdown

Flash PMI readings for November in the euro zone on Wednesday reaffirmed that the 19-member bloc is in recession, but the slowdown in business eased slightly.

The S&P Global composite flash PMI, which includes services and manufacturing and is seen as a reliable indicator of economic health, rose to 47.8 in November from 47.3 in October, beating forecasts in a Reuters poll for a decline to 47. ,0 opposed.

Any reading below 50 represents a contraction in activity, and November was the fifth consecutive month of contraction.

In the UK, the composite index was little changed at 48.3 in November from 48.2 in October.

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Berenberg Economists Holger Schmieding and Callum Pickering: “Although business expectations have risen from a 30-month low in October, possibly linked to an improvement in the domestic political situation – current activity is under severe pressure from weak confidence, cost pressures and tough conditions remains financial”. said in the note.

“As in the euro area, companies are still adding jobs. However, because labor market activity often lags behind broader economic trends, the slower rate of job creation is likely to be an ominous sign that employment is finally falling.” because recession deepens in winter.

– Elliot Smith

Credit Suisse shareholders back $4.2 billion in capital raising

Credit Suisse shareholders approved a capital increase of 4 billion Swiss francs ($4.2 billion) on Wednesday, aimed at financing a major strategic overhaul of the troubled lender.

Credit Suisse’s investment plans are divided into two parts. The first, which was supported by 92% of shareholders, will offer shares to new investors, including the National Bank of Saudi Arabia, through a private placement.

The new share offering shows that the SNB will take a 9.9% stake in Credit Suisse, making it the bank’s largest shareholder.

The second capital increase issues newly registered shares with preferential rights to existing shareholders and passed with 98% of votes.

– Elliot Smith

Shares of Credit Suisse fell 5% after the restructuring

Stocks on the move: Johnson Matthey down 6%, CTS Eventim down 4%

Johnson Matty Shares in the Stoxx 600 fell more than 6% in early trade after the British chemicals group reported a drop in half-year profit and supply chain pressures affected production volumes for the company’s automotive customers.

Also Read :  European markets open to close, earnings, data and news

At the top of the index, the German entertainment company CTS Eventim increased by 4%.

Credit Suisse posts $1.6 billion fourth-quarter loss, holds shareholder vote on restructuring

Credit Suisse on Wednesday forecast a fourth-quarter loss of 1.5 billion Swiss francs ($1.6 billion) as it makes a major strategic overhaul.

The embattled lender last month announced a series of measures to address persistent underperformance at its investment bank and a series of risk and compliance failures that have left it with persistently high litigation costs.

Shareholders will vote on the bank’s restructuring plan and capital increase at an extraordinary general meeting on Wednesday.

Read the full story here.

– Elliot Smith

Here are the open calls

Britain’s FTSE 100 is expected to be around 12 points higher at 7,464, Germany’s DAX up around 25 points to 14,447 and France’s CAC 40 up around 15 points to 6,673.

CNBC Pro: UBS says self-driving cars could become $100 billion market in China, calls stocks to play

Electric vehicles are gaining traction, especially in China, the world’s largest EV market.

But UBS believes autonomous driving will be an even bigger megatrend than electrification – with a market size of around $100 billion in China alone by 2030.

Here’s how investors can play this megatrend, according to UBS.

Professional customers can read more information here.

– Xavier Ong

CNBC Pro: Morgan Stanley lists major companies with potential exposure to FTX

CNBC Pro: Goldman says EV batteries are becoming “important” and lists 2 stock picks

According to Goldman Sachs, electric vehicle batteries are becoming “crucial” in the energy transport era.

The investment bank lists two of the best stocks to play in the EV battery sector, giving one an advantage of around 70%.

CNBC Pro subscribers can read more here.

– Weichen Tan

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