0915 GMT - European stocks will be able to withstand heightened bond volatility as revenues on the continent improve, UBS Wealth Management's Mark Haefele says. Eurozone government bond yields have risen sharply in recent days amid higher oil prices and concerns around France's budget deficit. However, improving revenues, structural investment demand and resilient earnings growth will all support the continent's stocks. An uptick in manufacturing activity on the continent will drive revenue growth, in turn boosting earnings, Haefele says. "Improving profit momentum should help cushion the effect of moderately higher yields on equity valuations." The Europe-wide Stoxx 600 falls 0.85%, down 3% over the last month.
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