Traders work on the floor of the New York Stock Exchange during morning trading on April 20, 2026 in New York City.
Michael M. Santiago | Getty Images
LONDON — European stock markets opened higher on Wednesday, rebounding from losses in the previous session, while British gold yields fell after Prime Minister Keir Starmer did not respond to calls for his resignation.
Immediately after the opening bell, the pan-European Stoxx 600 index rose 0.7%.
british FTSE The index rose 0.8% in early morning trading, but Germany’s dachshund 0.7% and France CAC40 Added 0.2%.
Earnings reports are provided by allianz, deutsche telekom, zurich insurance, ion, Merck & Co., RWE, Hapag Lloyd and porsche on wednesday.
German automation giant siemens has launched a new 6 billion euro ($7.04 billion) share buyback program over the next five years after posting a better-than-expected first-quarter net profit of 2.03 billion euros.
Siemens shares fell 1.3% in early morning trading.
The gains came as European stocks traded in negative territory on Tuesday as the prospect of a quick resolution to the US-Iran war looks increasingly remote and British Prime Minister Keir Starmer’s premiership looks highly vulnerable to leadership challenges.
Mr Starmer told his weekly cabinet meeting on Tuesday that he had no intention of resigning after Labor’s poor performance in last week’s local elections, insisting he would “continue to govern”. He remains under pressure, with cabinet aides and several ministers resigning in recent days.
Yields on British bonds (known as gilts) rose by double digits on Tuesday as investors worried about worsening fiscal discipline under the new leader. By Wednesday morning, fears had subsided and yields were down 3-4 basis points across duration.
The Prime Minister will face tense negotiations with potential rival West Streeter on Wednesday as Mr Starmer aims to survive the leadership challenge.
Global investors will be closely watching developments related to the upcoming meeting between US President Donald Trump and Chinese President Xi Jinping, which is expected to discuss trade and the Iran war.
President Trump on Monday rejected Tehran’s “unacceptable” counteroffer to end the conflict, calling the month-long ceasefire between the United States and Iran “incredibly weak” and “on massive life support.”
Secretary of Defense Pete Hegseth said President Trump does not need Congressional approval to resume strikes against Iran. The comments came after the administration passed a 60-day deadline required by the federal War Powers Act to obtain authorization for military force.
Asia-Pacific markets were mixed on Wednesday as investors digested higher-than-expected U.S. inflation in April amid concerns about rising oil prices.
U.S. traders are expecting further inflation data on Wednesday, with the April producer price index due later in the day. Economists polled by Dow Jones expect the index to rise 0.5% this month, on par with March. U.S. stock futures were mostly higher early Wednesday.
—CNBC’s Lisa Kallai Han and Justina Lee contributed to this market report.
