# European bourses steady as focus remains on key economic data Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-08-17 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: European Shares Flat Amid Recession Fears Meta Description: Follow the latest updates on European shares as investors remain cautious amidst growing recession fears and data releases impacting the region's economic URL: https://financedigest.com/european-bourses-steady-as-focus-remains-on-key-economic-datahtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-08-17t072555z1lynxmpei7g07prtroptp4europe-stocks-1736815451432-compressed.jpg) By Anisha Sircar (Reuters) – European shares on Wednesday were little changed amid persisting recession fears, with investors eyeing growth and inflation data due this week for clues about the region’s economic health and the monetary policy outlook. The pan-European STOXX 600 hovered near 10-week highs in a choppy trading session. Food and beverage stocks gained 1.0% to scale near three-week peaks, while [real estate](https://www.financedigest.com/gold-london-real-estate-and-the-theresa-may-effect.html "GOLD, LONDON REAL ESTATE AND THE THERESA MAY EFFECT") shed 1.1%. Overnight, results from retailers Walmart and [Home Depot bolstered views on the health](https://www.financedigest.com/how-to-work-from-home-and-look-after-your-mental-health.html "How to work from home and look after your mental health") of U.S. consumers, lifting Wall Street [stocks ahead of July retail sales data](https://www.financedigest.com/stocks-mixed-dollar-gains-after-robust-inflation-jobs-data.html "Stocks mixed, dollar gains after robust inflation, jobs data") due from the world’s largest economy. \[.N\] The focus on Wednesday was also on the final euro zone flash [GDP estimates for the second quarter](https://www.financedigest.com/german-gdp-contracted-by-0-4-in-the-fourth-quarter.html "German GDP contracted by 0.4% in the fourth quarter") due at 0900 GMT. While preliminary [data showed faster-than-expected growth](https://www.financedigest.com/bridge-the-gaps-in-big-data-and-cross-into-a-world-of-growth.html "Bridge the gaps in Big Data – and cross into a world of growth"), economists fear it might be the economy’s last hurrah. [“European markets](https://www.financedigest.com/explainer-why-european-money-market-funds-inflows-are-lagging-behind-the-u-s-torrent.html "Explainer-Why European money market funds inflows are lagging behind the U.S. torrent?") have taken a cue from Wall Street and Asia amid hopes the U.S. might [avoid a recession](https://www.financedigest.com/uk-to-avoid-recession-this-year-but-outlook-still-weak-bcc-says.html "UK to avoid recession this year but outlook still weak, BCC says") due to consumer resilience, but gains are limited with investors treading water ahead of the Q2 revision, keen to see whether the more buoyant 0.7% growth reading will be maintained,” said Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown. UK’s FTSE 100 was flat. British [consumer price](https://www.financedigest.com/investors-warn-big-consumer-firms-over-price-hikes-as-competitors-gain.html "Investors warn big consumer firms over price hikes as competitors gain") inflation rose to 10.1% in July, its highest since February 1982. Another 50 bps [hike from the Bank of England](https://www.financedigest.com/bank-of-england-set-to-hike-to-4-as-rate-peak-looms.html "Bank of England set to hike to 4% as rate peak looms") next month is now more likely… Tightening is taking [place against an already downbeat backdrop of negative growth expected](https://www.financedigest.com/revealed-the-top-5-places-brits-expect-to-find-the-one-in-2016.html "REVEALED: THE TOP 5 PLACES BRITS EXPECT TO FIND ‘THE ONE’ IN 2016") from Q4 onwards, which is not a bright outlook for stocks,” said Stuart Cole, chief macro economist at Equiti Capital. The [market is seeing the UK experience](https://www.financedigest.com/urinalysis-market-is-predicted-to-experience-noticeable-growth-by-2024.html "Urinalysis Market is Predicted to Experience Noticeable Growth by 2024") as a harbinger of what is to come in the EU. Among stocks, Uniper fell 7.2% after the [German utility reported a first-half net loss of 12.3 billion](https://www.financedigest.com/intel-wants-5-billion-more-in-german-subsidies-for-chip-plant-bloomberg-news.html "Intel wants billion more in German subsidies for chip plant – Bloomberg News") euros ($12.5 billion), mainly due to lower Russian gas supplies. Uniper’s big [loss highlights the heavy](https://www.financedigest.com/uk-motor-and-home-insurers-headed-for-heavy-losses-ey-warns.html "UK motor and home insurers headed for heavy losses, EY warns") cost the invasion of Ukraine has had on the German energy market. Projections that it should exit the loss zone in 2024 [limited losses in early trade,”](https://www.financedigest.com/indias-carmakers-back-zero-duty-on-limited-british-imports-under-trade-deal-sources.html "India’s carmakers back zero duty on limited British imports under trade deal – sources") Streeter said. Switzerland’s biggest life [insurer](https://www.financedigest.com/types-of-life-insurance.html "Types of Life Insurance") Swiss Life rose 1.2% after posting a 4% rise in its half-yearly net profit. European bourses have bounced off of June lows, mirroring sentiment on [Wall Street](https://www.financedigest.com/weary-wall-street-cheers-improved-consumer-confidence.html "Weary Wall Street cheers improved consumer confidence") as signs that U.S. inflation may have peaked [lowered bets](https://www.financedigest.com/bmw-bets-on-design-and-recycling-not-mining-to-lower-battery-costs.html "BMW bets on design and recycling, not mining, to lower battery costs") of aggressive rate hikes. Money markets in the euro zone, meanwhile, continue to fully price in a 50 bps [European Central Bank rate hike](https://www.financedigest.com/ecbs-villeroy-rate-hike-signals-strong-confidence-in-european-banks.html "ECB’s Villeroy: rate hike signals strong confidence in European banks") in September. \[IRPR\] Graphic: [Euro GDP](https://www.financedigest.com/barclays-warns-of-sub-parity-euro-5-ppt-gdp-hit-if-russia-turns-off-gas-taps.html "Barclays warns of sub-parity euro, 5 ppt GDP hit if Russia turns off gas taps") weighted https://fingfx.thomsonreuters.com/gfx/mkt/zgpomgyrbpd/Euro%20GDP%20weighted.PNG ![](https://www.globalbankingandfinance.com/wp-content/uploads/2022/08/480.jpg) (Reporting by Anisha Sircar in Bengaluru; editing by Uttaresh.V) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---