European markets open to closing time, data, earnings and news

Nomura cuts its GDP forecast for China – again

Nomura has cut its forecast for China’s full-year GDP to 2.7%, down again from the previous estimate of 2.8% set in August.

The new outlook is based on Nomura’s analysis which found that 12% of China’s GDP is affected by Covid controls on a weighted basis, up from 5.3% last week.

Several cities, including the Shenzhen Tech Center, have tightened Covid controls in recent weeks after reporting new local infections. Chengdu has also ordered people to stay at home while authorities conduct massive virus testing.

Read the full story here.

—Evelyn Cheng

CNBC Pro: Tensions between Russia and Europe could cause ‘bullish shock’ in oil markets

Oil and gas supplies will be boosted by the heightened tensions over Russian gas supplies to Europe, one analyst said.

Kenny Polcari, chief market strategist at SlateStone Wealth, told CNBC’s “Street Signs Asia” that investors should zoom in on major US energy names that are also good dividend payers.

One stock he mentioned is up 125% this year and he says there’s more “room to run.”

Pro subscribers can read more here.

— Weizhen Tan

Oil prices fall on expectations of further rate hikes and lower demand growth

Oil prices fell on Wednesday after more Covid restrictions in China and expectations of more rate hikes worldwide.

US West Texas Intermediate futures fell 1.45% to $85.62 a barrel, while Brent oil futures fell 1.14% to $91.77 a barrel, pushing earlier gains after the last OPEC+ meeting and the decision to to reduce production were wiped out.

A Reuters forecast expects WTI to extend its downward trend to $83.17 a barrel.

—Lee Ying Shan

CNBC Pro: This chip stock has convincingly beaten its competitors this year – and analysts think it could go higher

After years of crushing returns in the market, semiconductor stocks have sold heavily this year. But one stock has emerged from the carnage relatively unscathed. Not only has it outperformed its peers, it has beaten the S&P 500 by a country mile.

And analysts think the stock could go even higher.

Pro subscribers can read more here.

— Zavier Ongo

US Treasury yields hit highest level since mid-June

A bond sell-off has pushed US Treasury yields to their highest levels since mid-June as investors weigh what strong economic data means for the Federal Reserve’s future rate hikes.

The US 10-year yield rose by a whopping 3.353%, the highest level since June 16, when yields reached 3.495%. Yields are inverse to prices.

The US 30-year Treasury yield peaked at 3.484% and the US 5-year Treasury yield reached 3.334%, both the highest levels since mid-June.

The 2-year yield also rose to a daily high of 3.535%, but it is only the highest yield for the note since Friday.

– Carmen Reinicke

European markets: these are the opening calls

European equities are expected to open cautiously higher on Wednesday, with the UK’s FTSE index up 18 points at 7,560, Germany’s DAX 33 points higher at 13,944, France’s CAC 40 18 points higher at 6,616 and Italy’s FTSE MIB 42 points higher at 13,944. 23,029, according to data from IG.

Data releases include preliminary unemployment data in the eurozone for the second quarter and gross domestic product for the second quarter. The latest UK inflation figures for July will be released, as will the preliminary Dutch GDP for the second quarter.

Revenues come from Uniper, Carlsberg, Persimmon, Balfour Beatty, BAT and National Grid.

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