European markets fall as political chaos in the UK continues

Sterling falls further as UK prime ministerial contest begins
UK public debt rises to £20 billion
Public borrowing reached 20 billion pounds ($22.2 billion) in Britain in September, up from 11.8 billion pounds in August, according to the Office for National Statistics.
It is the second highest September loan figure since monthly records began in 1993.
The figure is £5.2bn more than the £14.8bn originally estimated by the ONS.
—Hannah Ward-Glenton
Retail makes losses as UK reports lower sales figures
Retail led losses in European markets this morning, down 2.9%.
UK retail sales figures were lower than expected, down 1.4% in September according to the Office for National Statistics.
The figure is 1.3% below pre-Covid levels in February 2020.
Retailers continue to cite rising prices and the cost-of-living crisis to hamper sales. The death of Queen Elizabeth II in September also caused many retailers to close.
—Hannah Ward-Glenton
Adidas shares fell 7.2 percent after the results announcement
Shares in Adidas have fallen 7.2% in early trading after the company issued a 2022 profit warning.
Puma is also trading around 4% lower following the Adidas announcement.
—Hannah Ward-Glenton
European markets: Here are the opening calls
Britain’s FTSE 100 is set to open 36 points lower at 6,905, according to data from IG.
Germany’s DAX seen opening around 119 points lower at 12,636, France’s CAC is set to fall by 51 points to 6,026 and Italy’s MIB the index is expected to fall around 205 points to 21,398.
—Hannah Ward-Glenton
CNBC Pro: Goldman Sachs says these stocks could beat an increasingly likely recession
“The macro picture is arguably more challenging than it has been for some time,” said Goldman Sachs, which favors a leveraged strategy for recessionary turmoil.
The bank mentioned several buy-rated shares it believes can do well against today’s macro background.
Pro subscribers can read more here.
— Zavier Ong
US Treasury notches new decade highs
The US 10-year Treasury yield rose as high as 4.272%, after topping 4.2% for the first time since 2008.
The policy-sensitive 2-year Treasury yield also rose to 4.639%, at its highest level in 15 years.
The dividend on 30-year treasury rose to a new 11-year high of 4.266%.
Yields and prices move in opposite directions and one basis point equals 0.01%.
–Ji Hye Lee