The Stoxx 600 makes gains in early trading

The pan-European Stoxx 600 rose 0.8% in early trading, with banks adding 1.7% to the gains in the lead, with all sectors advancing except basic resources, which fell 0.6% .

The best performer in the index was Danish healthcare company Ambu, up around 7.3%, while the worst performer was investment group Storskogen, down 5.6%.

—Holly Ellyatt

CNBC Pro: Strategist reveals why this FAANG stock is a safe bet ahead of September

A “seasonally weak” period for equities is just around the corner, which could mean more volatility for stock markets.

But King Lip, chief strategist at BakerAvenue Wealth Management, believes a FAANG stock could be a safe bet.

Pro subscribers can read the story here.

— Zavier Ong

US needs ‘miracle’ to avoid recession: Stephen Roach

The United States will enter a recession unless a “miracle” happens, said Stephen Roach, former chairman of Morgan Stanley Asia.

“We will definitely have a recession as the lagged effects of this major monetary tightening start to kick in,” he told CNBC’s “Fast Money” on Monday. “They haven’t acted at all yet.”

“The unemployment rate is probably going to be over 5%, hopefully not much more than that. But it could go up to 6%,” Roach added.

— Jihye Lee, Stephanie Landsman

CNBC Pro: Analyst names stocks ‘at risk of going $0’ and top 3 picks, giving over 80% upside

Cash-burning stocks are about to take a hit, says David Trainer, CEO of investment research firm New Constructs.

This is because interest rates will rise further, which means liquidity will start to dry up, he explained.

It tells investors to avoid “zombie” stocks and identifies stronger bets.

CNBC Pro subscribers can learn more here.

—Weizhen Tan

European markets: here are the opening calls

According to IG data.

The data releases include preliminary eurozone unemployment data for the second quarter as well as gross domestic product for the second quarter. The latest UK inflation figures for July will be released along with the preliminary Dutch Q2 GDP.

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