In European Equity Markets the pan-European STOXX 600 closed 0.39% up. Autos jumped 2.02 percent higher after initially being the weakest sector. Dutch bank ABN Amro reported a 20% decline in first-quarter net profit to 478 million euros ($536 million). Its stock recovered to a 1.07% rise during Wednesday. Shares of British lender CYBG closed up 3.3% after it swung to a first-half profit, while the worst early performer was German internet company United Internet, which fell 6.29% after its first-quarter results.
In Currency Markets the pound fell on Wednesday on growing expectations that Prime Minister Theresa May will again fail to get her Brexit deal approved and could soon face a leadership challenge. May plans to put forward her thrice-rejected Brexit deal in the week beginning June 3, to try to secure an agreement before lawmakers go on summer holiday. Sterling has weakened more than 1% this month. The currency fell 0.5% to $1.2943, its lowest since Feb 15, and dropped 0.4% versus the euro to 87.13 pence.
In Commodities Markets oil prices rebounded on Wednesday as a government report showed shrinking supplies of U.S. gasoline, suggesting more demand ahead for crude suppliers. Futures in New York rose as much as 0.5%, erasing an earlier loss, after the Energy Information Administration said domestic gasoline inventories fell 1.12 million barrels, far ahead of analyst forecasts. West Texas Intermediate crude for June delivery advanced 6 cents to $61.84 a barrel on the New York Mercantile Exchange.
In US Equity Markets stocks reversed course to trade higher on Wednesday after a report that President Donald Trump may delay a decision to impose auto tariffs, offering respite to markets worried about slowing global growth after a batch of weak economic data. The S&P 500 0.27%, at 2,842.17 and the Nasdaq Composite rose 0.65%, at 7,784.69. Agilent Technologies Inc’s shares fell 9.9%, the most on the S&P 500, after the medical equipment maker reported quarterly results below estimates.
In Bond Markets German bond yields sank deeper into negative territory on Wednesday as investors sought safety in the face of festering U.S.-Chinese trade tensions, global growth concerns and renewed worries about Italy’s budget plans. Italian yields, meanwhile, extended their rise after deputy prime minister Matteo Salvini said on Tuesday Rome was ready to break EU fiscal rules. The 10-year German bund yield fell to its lowest since October 2016. The yield fell as much as six basis points to -0.13%.