European Markets Stumble as Bond Yields Hit 13-Year Highs

Infineon and Aixtron bore the brunt of the downturn, reflecting the broader sensitivity of tech stocks to rising borrowing costs. The shift in market sentiment follows President Trump’s recent denial of engagement with Iran, a development that has heightened anxiety across global trading desks. While energy companies managed slight gains alongside rising oil prices, these were largely eclipsed by the deepening instability in the Middle East.

Market participants are now fixated on the upcoming release of the Federal Reserve’s July meeting minutes for clues regarding the trajectory of future monetary policy. Across Europe, attention is shifting toward the adequacy of gas reserves ahead of winter, even as gains in healthcare and retail shares—led by Coloplast and H&M—provided a thin buffer against the day's widespread losses.