{"id":1625665,"date":"2022-08-29T12:37:11","date_gmt":"2022-08-29T16:37:11","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1625665"},"modified":"2022-08-29T12:37:22","modified_gmt":"2022-08-29T16:37:22","slug":"european-shares-drop-as-policymakers-seek-to-tame-hot-inflation","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/european-shares-drop-as-policymakers-seek-to-tame-hot-inflation\/","title":{"rendered":"European shares drop as policymakers seek to tame hot inflation"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">20<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Feuropean-shares-drop-as-policymakers-seek-to-tame-hot-inflation%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1625665&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>By Anisha Sircar<\/p>\n<p>(Reuters) \u2013     European shares dropped on Monday, while bond yields surged as comments from central bank policymakers heightened fears of aggressive measures to stamp out inflation amid rising risks of a recession.    The STOXX 600 index fell 0.9% to a more than one-month low, with interest rate-sensitive tech stocks tumbling 1.8%. Germany\u2019s 10-year yield rose 10 basis points (bps) to a two-month high.    European Central Bank (ECB) board member Isabel Schnabel warned over the weekend that central banks must act forcefully to combat inflation even if that dragged economies into recession, while governing council member Francois Villeroy and policymaker Martins Kazaks also signalled another big rate step in September.    Their comments followed Federal Reserve Chair Jerome Powell\u2019s warning on Friday that the U.S. central bank would raise rates as high as needed to restrict growth and keep them there \u201cfor some time\u201d.<\/p>\n<p>Markets are pricing in a two-thirds chance that the ECB could hike rates by 75 bps in September, up from 24% last week.<\/p>\n<p>\u201cInvestors returning from holidays are catching up with hawkish central banks attitudes\u2026 The bearish repricing of the (ECB) rate path is likely to extend, also considering the inflation outlook is likely to deteriorate before it turns for the better,\u201d Commerzbank strategists said in a note.<\/p>\n<p>Flash August consumer price index numbers due Wednesday are likely to show that inflation in the euro area remains uncomfortably high. <\/p>\n<p>\u201cNeither Schnabel nor Villeroy said what they will favour at the next meeting \u2013 they may want to see inflation data for August and the ECB\u2019s revised economic forecasts before deciding,\u201d said Andrew Kenningham, chief Europe economist at Capital Economics.<\/p>\n<p>The volatility gauge for euro-zone stocks, widely known as \u2018Europe\u2019s fear index\u2019, jumped to a six-week high of 29.4.<\/p>\n<p>Stocks are set for a nearly 3% drop just over the last two sessions, as the combination of big rate hikes to cool rampant euro-zone inflation, a looming recession and an energy crunch weighs on sentiment.<\/p>\n<p>After nearly erasing June\u2019s selloff last month, the STOXX has shed almost 4% so far in August.<\/p>\n<p>Among stocks, one of the few gainers was French drugmaker Valneva, rising 0.9% on positive late-stage trial results for its COVID-19 shot.<\/p>\n<p>Real estate stocks, among sectors viewed as \u201cdefensive\u201d or safer bets during times of economic uncertainty, saw the slimmest losses amid a broad-based STOXX 600 selloff.    Markets in the United Kingdom were closed on Monday for a holiday.<\/p>\n<p> (Reporting by Anisha Sircar in Bengaluru; Editing by Subhranshu Sahu and Rashmi Aich)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/?attachment_id=2742385\"><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/08\/tagreuters.com2022binary_LYNXMPEI7S067-VIEWIMAGE.jpg\" alt=\"tagreuters.com2022binary_LYNXMPEI7S067-VIEWIMAGE\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Anisha Sircar (Reuters) \u2013 European shares dropped on Monday, while bond yields surged as comments from central bank policymakers heightened fears of aggressive measures to stamp out inflation amid<\/p>\n","protected":false},"author":66,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1625665","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1625665","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1625665"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1625665\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1625665"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1625665"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1625665"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}