Stoxx 600, FTSE 100, DAX, CAC 40

European stock markets rose as the EU trade chief said talks with the U.S. were ‘advancing in the right direction’.

The pan-European Stoxx Europe 600 index provisionally closed higher by 0.5%. Other major indexes were also in the black. The U.K.’s FTSE 100 rose 0.2%, Germany’s DAX was up 0.7%, and France’s CAC 40 gained 0.5%.

— Ganesh Rao

Private sector job creation slowed to a near-standstill in May, hitting its lowest level in more than two years as signs emerged of a weakening labor market, payrolls processing firm ADP reported Wednesday.

Payrolls increased just 37,000 for the month, below the downwardly revised 60,000 in April and the Dow Jones forecast for 110,000. It was the lowest monthly job total from the ADP count since March 2023.

The report comes two days before the more closely watched nonfarm payrolls count from the Bureau of Labor Statistics, which is expected to show a gain of 125,000 and the unemployment rate steady at 4.2%.

Read the full story here.

— Jeff Cox

Bulgaria on Wednesday secured the green light to join the euro zone, meaning the bloc could soon grow from 20 to 21 members.

The European Commission and European Central Bank both assessed that the country met the requirements to adopt the single currency starting next year.

“This positive assessment of convergence paves the way for Bulgaria to introduce the euro as of 1 January 2026 and become the 21st EU Member State to join the euro area,” Philip Lane, member of the ECB Executive Board, said in a press release.

Read the full story here.

— Sophie Kiderlin

We’re around halfway through Wednesday’s trading session, and regional stocks are still broadly on the rise.

The pan-European Stoxx 600 is 0.4% higher, with most sectors and all major bourses in positive territory.

Mining stocks have added 1.3%, while industrials stocks are 1% higher and construction and materials stocks have gained 0.6%, after U.S. President Donald Trump’s 50% tariffs on steel and aluminum from most countries came into effect.

— Chloe Taylor

Shares of shipping giant Maersk were 1.4% higher by 12:45 p.m. in London.

Maersk’s APM Terminals unit is set to partner with Chinese electric vehicle battery firm CATL to develop and provide after-sales support for battery products.

The deal will see the companies work on the electrification of container handling equipment in line with the aim the parties share via the Zero Emission Port Alliance (ZEPA), CATL said in a statement on Wednesday.

— Chloe Taylor

Trade talks between the U.S. and the European Union appear to be making progress, European Trade Commissioner Maros Sefcovic indicated in a social media post on Wednesday.

Sefcovic and U.S. Trade Representative Jamieson Greer “had a productive and constructive discussion,” Sefcovic said after the two met on the sidelines of the OECD Ministerial Council meeting in Paris.

“We’re advancing in the right direction at pace — and staying in close contact to maintain the momentum,” he said.

— Sophie Kiderlin

Nissan CEO Ivan Espinosa told CNBC’s “Squawk Box Europe” on Wednesday morning that the focus is on securing a “robust” plan for the auto firm.

“At the moment the focus is to get the company back on track, to get the right footing,” Espinosa said. “We have a solid plan, we have the right resources, we have the right people, we are convinced the plan is enough and robust, and this is what we’re focused on.”

— Sawdah Bhaimiya

U.S. President Donald Trump’s increased tariffs on steel and aluminum imports to the U.S. hit major trade partners on Wednesday, but the U.K. was spared from the full impact.

The executive order will double steel and aluminum tariffs from 25% to 50%, from Wednesday. Countries that will face the full levies include Canada and Mexico — the biggest steel exporters to the U.S. Meanwhile, European steel exporters including Germany, Italy, Sweden, and the Netherlands will face the full blow.

Trump stated while signing the tariff order on Tuesday that the U.K. warranted “different treatment” to its European peers due to the “Economic Prosperity Deal” inked on May 8, and will face a 25% levy instead.

Read the full story here.

— Sawdah Bhaimiya, Holly Ellyatt

Echoing comments from Blackstone’s vice chairman earlier at the SuperReturn private equity conference in Berling, Blair Jacobson, co-president of Ares Management Corporation, said there was a “feeling right now that European markets are very attractive.”

Positive factors include falling interest rates and Germany’s 500 billion euro fiscal package, he said.

Jacobson said he was also encouraged by last year’s Draghi report, which urged deregulation and making Europe more competitive.

“Europe is growing up and taking control of its own destiny, which can be positive for macro trends,” he said.

Ares is focusing more on its international exposure and sees massive opportunities outside the U.S., Jacobson added, evidenced by its recent acquisition of global alternative asset manager GCP International for $3.7 billion which increased its exposure in Asian infrastructure.

— Jenni Reid

It’s shortly after the opening bell in London and European stocks are trading higher, despite President Donald Trump’s 50% tariffs on steel kicking in on Wednesday.

The pan-European Stoxx 600 opened nearly 0.3% higher. The German Dax led gains and was up 0.6%, the French CAC 40 was 0.3% higher and London FTSE 100 was little changed. Most major sectors were in the green.

— Sawdah Bhaimiya

More than 6,000 private markets professionals are gathering at the InterContinental Hotel in Berlin this week for one of the largest gatherings of the industry in the world. Items on the agenda include muted M&A and initial public offering (IPO) activity, opportunities from AI, and of course, Trump tariffs.

Kicking off panels on Wednesday is Blackstone Vice Chairman Thomas Nides, who stressed that “this too will pass” when it comes to recent tariff volatility.

“People just want a little certainty. Trump keeps everyone on edge, and for people who are market participants, that’s anxiety ridden. Boardrooms are cautious in decision-making,” he said.

“When you’re a long-term investor you need to invest through cycles…  Things will calm down, issues around tariffs will subside over time, and we’ll get back to equilibrium.”

The U.S. market remains a great place to invest, but more political certainty means “shifting money into Europe is certainly not a bad bet,” he added.

— Jenni Reid

Tesla‘s new car sales in Britain fell 46% year-on-year in May, according to preliminary data from research group New AutoMotive.

Tesla sold 1,758 units in Britain last month, down from 3,244 in the same period of last year. Despite losing some of its market share, the company remains the best-selling battery electric vehicle maker in Britain so far this year.  

The U.S. EV maker’s European sales have suffered in recent months, due to rising competition and a backlash over CEO Elon Musk’s rhetoric and political activity.

Industry groups on Monday reported significantly lower May sales for new Tesla vehicles in Spain, Portugal, Denmark and Sweden.

In Norway, however, Tesla’s new car sales jumped 213% in May from a year ago, data published Monday showed. The upswing in Norway, a global leader in sustainable transportation, was primarily driven by sales of Tesla’s revamped Model Y compact sports utility vehicle.

— Sam Meredith

The European steel industry is set to see a mixed impact on prices after U.S. President Donald Trump said tariffs on steel imports will double from 25% to 50% on June 4.

The latest tariffs will cause U.S. domestic prices of steel to increase, which will put pressure on Canada and Mexico, the biggest steel exporters to the U.S. This will redirect steel to cheaper markets like Europe, favoring regional buyers, Josh Spoores, head of steel Americas analysis at CRU, told CNBC on Tuesday.

European steelmakers will meanwhile be hard hit by the duties and forced to lower prices, according to Kaye Ayub, head of price analysis and forecasts at U.K.-based steel market consultancy MEPS International.

“Steel demand is already low across Europe, eroding prices and domestic steelmaker’s profit margins. This has forced many producers to cut production and close plants as they struggle to compete with low-cost steel imports produced in countries where production costs are much lower,” Ayub said.

Any curtailment of the 3.89 million metric tons of EU-produced steel that was exported to the U.S. in 2024 due to trade barriers would “likely exacerbate steel oversupply in Europe, applying increased downward pressure to selling prices,” Ayub noted.

Read the full story here.

— Sawdah Bhaimiya, Jenni Reid

Good morning from London. This is CNBC’s live blog covering all the action in European financial markets on Wednesday, as well as business news, analysis, earnings and data.

Futures data from IG on Wednesday morning suggests London’s FTSE will open 6 points higher at 8,788, Germany’s DAX up 56 points at 24,135, France’s CAC 40 up 20 points at 7,780 and Italy’s FTSE MIB 60 points higher at 40,155.

U.S. tariffs are once again in focus on Wednesday after President Donald Trump said last week that he will double tariffs on steel imports from 25% to 50% on June 4.

The European Union criticized the hike, saying such a move “undermines” its trade deal negotiations with the U.S. An EU spokesperson said that the bloc was “prepared to impose countermeasures.” A temporary 25% tariff remains for the U.K. until its trade deal with the U.S. comes into force.

Nonetheless, analysts say European steel buyers and some manufacturers could benefit from the higher metals tariffs as they could put downward pressure on steel prices in the region.

— Holly Ellyatt

It’s a quiet day for earnings and data, although Spanish and Italian services purchasing managers’ index data, which measures activity in the sector, will be released.

Poland’s central bank will also be announcing its latest monetary policy decision on Wednesday.

— Holly Ellyatt

Asia-Pacific markets advanced overnight, boosted by a tech rally on Wall Street that was led by chipmaker Nvidia on Tuesday.

Shares in the artificial intelligence darling advanced nearly 3%, extending Monday’s gains and driving Nvidia’s market cap past Microsoft’s for the first time since January. Chip companies Broadcom and Micron Technology rose more than 3% and 4%, respectively.

South Korean markets also rose overnight as opposition party leader Lee Jae-myung won the presidential election.

Meanwhile, U.S. stock futures were little changed early Wednesday after the S&P 500 notched a second straight day of gains.

The recent comeback rally has investors increasingly confident stocks have turned a corner on tariffs, especially after a series of reversals from President Donald Trump convinced traders the White House is mainly wielding high levies as a negotiating tool.

A federal court striking down Trump’s tariffs just last week added to hopes the market has priced in the worst of the tariffs, though they were later reinstated temporarily by an appeals court.

— Holly Ellyatt, Sarah Min and