acceptingThe Stoxx dropped 0.6% on Tuesday, its steepest loss since April 30, as investors focus on the interest rate outlook and monitor risingSign up for NBC New York newsletters.
"What that's indicative of is that companies are so far managing to hold on to many of the price increases they pushed through during that Covid period, so as inflationary pressures are reducing, companies are holding on to those pricing gains that are benefiting the margin line," he added. European Central Bank Governing Council member Klaas Knot meanwhile said in a London speech that it will"soon" be appropriate to move toward less restrictive monetary policy, but that easing must go"slowly" and"gradually" from there.France's CAC 40 index fell 0.35%, Germany's DAX dipped 0.2%, and the U.K.'s FTSE 100 was just below the flatline.
"We are far from topping out on AI. This should be enough to sustain investor confidence in AI supply chain stocks in Asia," the investment bank's analysts wrote in a May 22 research note.