Defense Stocks Reach All-Time High
A crew from Ukraine’s 33rd Separate Mechanized Brigade is seen loading ammunition onto a Leopard 2A4 tank during a training exercise at an undisclosed location in Ukraine on April 30, 2025.
Genya Savilov | Afp | Getty Images
This morning, the European Stoxx Aerospace and Defense index achieved a new record, climbing roughly 1.1%.
Year-to-date, the index has jumped over 53%.
On Wednesday, notable increases in the sector included Germany’s Renk, rising by 5.3% after Bloomberg reported that the military vehicle components manufacturer is contemplating branching out into civilian business. Poland’s Lubawa saw a 3% increase, while Airbus was up by 1.2%.
— Chloe Taylor
Banking Stocks Hit 17-Year High
The Banc Sabadell Tower in Barcelona, Spain, on May 1, 2024.
Bloomberg | Bloomberg | Getty Images
European Shares Open Higher
Approximately 30 minutes after the European markets opened, stocks in the region are trending upwards.
The pan-European Stoxx 600 is reported to be up by 0.1%, with all significant indices in the positive zone.
The French CAC 40 and Germany’s DAX have both risen by 0.4%, while London’s FTSE 100 is up 0.1%.
— Chloe Taylor
Latest on Tariffs
U.S. President Donald Trump during a cabinet meeting at the White House in Washington, DC, on July 8, 2025.
Aaron Schwartz | Bloomberg | Getty Images
Here’s a summary of recent trade policy developments from the White House.
New Tariffs on 14 Countries: U.S. President Donald Trump has postponed his “reciprocal tariffs” deadline to August 1, while introducing new tariff rates of 25% to 40% for 14 trading nations. This affects countries including Japan, South Korea, and several others.
Tariffs on Copper: Trump announced a new 50% tariff on copper imports during a Cabinet meeting but did not specify when this would take effect.
Threatened Tariffs on Pharmaceuticals: Trump reiterated the potential implementation of specific tariffs on pharmaceuticals, suggesting rates could be as high as 200%.
No New EU Tariffs: There have been no recent announcements regarding new tariffs affecting the European Union, suggesting that a trade agreement might be on the table.
— Chloe Taylor
Opening Calls Overview
The City of London skyline at sunset.
Gary Yeowell | Digitalvision | Getty Images
Good morning from London! Here’s the latest from CNBC’s live blog on business news and European financial markets this Wednesday.
According to futures data from IG, regional markets are expected to open mixed, with London’s FTSE 100 projected to rise by 0.2%, Germany’s DAX up by 0.1%, and France’s CAC 40 set for a 0.5% increase. Futures for Italy’s FTSE MIB remained flat.
This week, global markets have been fluctuating as traders assess the latest trade tariff updates. Asian markets showed mixed results overnight, while U.S. futures remained relatively unchanged.
Trump ruled out extending the deadline for steep tariffs on 14 countries, which are set to take effect on August 1.
— Holly Ellyatt
What to Watch for on Wednesday
Anton Petrus | Moment | Getty Images
Markets will focus on comments from the OPEC seminar in Vienna and updates from the RAISE Summit in Paris, particularly regarding artificial intelligence developments.
Traders are also monitoring the situation regarding U.S. trade deals, as the deadline for reduced tariffs approaches, specifically the letters sent to 14 countries announcing upcoming duties set for August 1.
European investors are looking ahead to an anticipated U.S.-EU trade agreement, which could be imminent.
No significant earnings or data releases are scheduled for Wednesday.
— Holly Ellyatt
