European Stocks Down, Yen Hits 20-year Low as US Hikes Loom

European Stocks Down, Yen Hits 20-year Low as US Hikes Loom
A worker shelters from the rain under a Union Flag umbrella as he passes the London Stock Exchange in London, Britain, on Oct. 1, 2008. Toby Melville/Reuters
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LONDON—European shares were lower on Tuesday, while yields on 10-year U.S. inflation-linked bonds were close to turning positive for the first time in two years, as the prospect of aggressive Fed tightening to rein in inflation kept investors on edge.

Investors were also preparing for the next barrage of company earnings that will help them assess the impact of the Ukraine war and a spike in inflation.