Wind power firms Vestas and Orsted jump on U.S. bill update

Wind power firms Vestas and Orsted jump on U.S. bill update


European markets open higher

European stock markets moved higher in early Wednesday deals, with the Stoxx 600 index up 0.35% shortly after the open.

Mining and banking stocks are leading gains, both up around 1.2%.

Stock Chart IconStock chart icon

hide content

Stoxx 600 index.

Danish wind turbine makers Vestas and Orsted have jumped 8.4% and 5%, respectively, as investors take in what the latest text of the U.S. One Big Beautiful Bill Act means for the renewables sector.

Analysts at Citi said the version that passed in the Senate on Tuesday “provides significant relief for wind.” An earlier draft drove down Vestas shares on Monday.

— Jenni Reid

UK government passes welfare bill as IFS says tax rises now more likely

Britain’s Prime Minister Keir Starmer speaks during a reception for public sector workers at 10 Downing Street in London on July 1, 2025.

Carl Court | Afp | Getty Images

In overnight news from the U.K., Prime Minister Keir Starmer secured parliamentary support for his controversial welfare bill — but only after a last-minute climbdown and ditching key elements including plans to tighten eligibility criteria for welfare benefits.

The U-turn managed to stave off a larger-scale rebellion among his Labour party, though 49 of its MPs still voted against the bill.

In their original form, the government had estimated the reforms would cut £5 billion ($5.86 billion) from the welfare budget by the 2029-30 fiscal year, when the government’s self-imposed rules require it to run a balanced day-to-day budget.

Now, the Resolution Foundation think tank estimates the bill will cost the government around £200 million annually by that point, adding more pressure on Finance Minister Rachel Reeves to implement tax rises or spending cuts in her fall budget.

The Institute for Fiscal Studies meanwhile noted that the government’s failure to find any savings on benefits payments had effectively halved Reeves’ margin of error against her main fiscal target in the budget.

“Since departmental spending plans are now effectively locked in, and the government has already had to row back on planned cuts to pensioner benefits and working-age benefits, tax rises would look increasingly likely. This will doubtless intensify the speculation over the summer about which taxes may rise and by how much,” Helen Miller, deputy director at the IFS, said.

— Matt Ward-Perkins, Jenni Reid

What’s coming up for markets on Wednesday

European Central Bank President Christine Lagarde arriving for the morning session at the ECB Forum on Central Banking 2025 in Penha Longa Resort on July 1 in Sintra, Portugal.

Horacio Villalobos | Corbis News | Getty Images

European traders will be keeping an eye on more action from the European Central Bank forum in Sintra, Portugal, on Wednesday, with ECB President Christine Lagarde due to address policymakers today.

CNBC has interviewed a number of central bank governors and officials at the forum, including ECB Chief Economist Philip Lane, Portugal’s central bank Governor Mario Centeno and Bank of England Governor Andrew Bailey.

Bank of Portugal's Centeno: Main concern for Europe is investment

It’s widely expected that the ECB will lower its key rate, the deposit facility rate, in September, after data released Tuesday showed the euro zone inflation rate hit the central bank’s 2% target.

On the data front, unemployment figures are due from Spain, Italy and the wider European region.

There are no major earnings reports in Europe on Wednesday.

— Holly Ellyatt

Here are the opening calls

General view of the City of London skyline, the capital’s financial district, in October.

Sopa Images | Lightrocket | Getty Images

Welcome to CNBC’s live blog covering all the action in European financial markets on Wednesday, as well as the latest regional and global business news, data and earnings.

Futures data from IG suggests European markets will open higher, with London’s FTSE looking set to open 0.2% higher at 8,804, Germany’s DAX 0.4% higher at 23,803, France’s CAC 40 up 0.5% at 7,702 and Italy’s FTSE MIB up 0.6% at 39,841.

The positive start expected in Europe comes as global markets assess the status of trade talks and the prospect of deals before U.S. President Donald Trump’s 90-day reprieve from higher import duties expires on July 9.

Traders are also digesting the latest comments from U.S. Federal Reserve Chair Jerome Powell, who said the central bank would have already cut interest rates if it weren’t for U.S. President Donald Trump’s tariff initiatives. Trump has repeatedly criticized Powell for the central bank’s rate policy.

U.S. stock futures were little changed overnight, after investors began the second half with a reduced appetite for technology stocks. Singapore stocks hit a record high overnight amid mixed trading in the Asia-Pacific region.

— Holly Ellyatt



Source

Sean ‘Diddy’ Combs is denied bail after mixed verdict clears him of top charges in sex crimes case
World

Sean ‘Diddy’ Combs is denied bail after mixed verdict clears him of top charges in sex crimes case

2018 Vanity Fair Oscar Party – Arrivals – Beverly Hills, California, U.S., 04/03/2018 – Rapper P. Diddy. Danny Moloshok | Reuters A judge declined Wednesday to set Sean “Diddy” Combs free on bond to await sentencing in his sex crimes case. The bond decision came after a jury convicted one of hip-hop’s celebrated figures of […]

Read More
With June jobs report looming, DOGE government layoffs could start becoming a factor
World

With June jobs report looming, DOGE government layoffs could start becoming a factor

A hiring sign is displayed in a Dominos Pizza window on June 25, 2025 in Austin, Texas. Brandon Bell | Getty Images For federal government workers who worked at agencies tied to this year’s job cuts, an apparent slowdown in the labor market is happening at the worst possible time. A gradual pullback in hiring […]

Read More
Microsoft laying off about 9,000 employees in latest round of cuts
World

Microsoft laying off about 9,000 employees in latest round of cuts

Microsoft CEO Satya Nadella speaks at Microsoft Build AI Day in Jakarta, Indonesia, on April 30, 2024. Adek Berry | AFP | Getty Images Microsoft said Wednesday that it will lay off about 9,000 employees. The move will affect less than 4% of its global workforce across different teams, geographies and levels of experience, a […]

Read More