European markets seen higher, Swedish corporate earnings eyed

Big 5

European bourses are expected to open higher Wednesday, paring losses seen Tuesday after the White House saw the latest setback in its efforts to drive ahead with health-care reforms.

The FTSE is seen 27 points higher at 7,416; the German DAX is expected to open up 20 points higher at 12,449; and the French CAC is seen up by 12 points at 5,189.

Republican efforts to overhaul Obamacare collapsed in the U.S. Senate on Tuesday, hurting markets and their faith in President Donald Trump’s abilities to drive ahead with his proposed business and infrastructure reforms. The president later told reporters that he could “let Obamacare fail” by allowing the underlying insurance markets go under, and then implement a rescue program.

Also in the U.S., it was revealed Tuesday that Trump held a previously undisclosed meeting with Russian President Vladimir Putin while attending a dinner for G-20 leaders earlier this month.

The secret meeting adds further fuel to the ongoing probe into Russia’s involvement in 2016 U.S. election hacking. The White House said there was nothing unusual about the talks and in two tweets sent late Tuesday Trump dismissed the reports as “sick.”

On Wednesday, investors in Europe will be looking to Sweden, where a host of corporate earnings from firms including Electrolux, Swedbank, Tele2 and Volvo Group are expected. The U.K.’s TalkTalk and Severn Trent are both due to hold their annual general meetings.

Brexit negotiators will also enter into their third day of talks in Brussels.

It was announced early Wednesday that Akzo Nobel’s Chief Executive Ton Beuchner is to step down due to health reasons. He is to be replaced by current Chemicals Division Chief Thierry Vanlancker. The outgoing chief earlier this year repelled a takeover attempt from U.S. rival PPG Industries. Source: CNBC

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