Key facts
- European shares were flat as of 0715 GMT.
- Basic resources stocks rose 0.6% driven by higher gold prices.
- Technology stocks fell 0.4% due to rising yields and unmet revenue expectations for Anthropic.
- Soitec, Nordic Semiconductor, and Scout24 were among the biggest decliners in the tech sector.
- U.S. President Donald Trump denied ongoing talks with Iran and affirmed the Strait of Hormuz remained open.
- UK consumer price inflation rose to 2.9% in July.
European shares traded flat on Wednesday, with gains in the basic resources sector providing some support amid broader market uncertainty. Investors were also awaiting the release of minutes from the U.S. Federal Reserve's July meeting for clues on the future path of interest rates.
The pan-European STOXX 600 index was flat at 652.07 as of 0715 GMT. The basic resources sector climbed 0.6%, influenced by higher gold prices.
Conversely, technology stocks experienced the most significant decline, falling 0.4%. This downturn was attributed to a bond sell-off that pushed yields higher, and reports indicating that Anthropic's annual revenue run-rate of $65 billion at the end of July did not meet some high investor expectations, leading to selling pressure in semiconductor stocks. Soitec was the top loser, down 4.4%, while Nordic Semiconductor and Scout24 saw declines of 2.1% and 2.3%, respectively.
In geopolitical news, U.S. President Donald Trump stated on Tuesday that no talks were underway with Iran and asserted that the Strait of Hormuz remained open, contradicting Iran's claims of a shipping shutdown.
Meanwhile, in the UK, consumer price inflation increased to an annual rate of 2.9% in July, up from 2.6% in June, which had been a 15-month low.