This is CNBC's live blog covering European markets.

European stock markets closed slightly lower Thursday after the release of preliminary euro zone inflation data, and as UBS posted its first set of results since the bank completed its takeover of Credit Suisse.

The pan-European Stoxx 600 slipped to a 0.1% loss at the end of a largely positive session, taking declines for the month to 2.64%, according to Eikon data.

UBS posted a second-quarter profit of $28.88 billion, well exceeding projections of $12.8 billion made by analysts polled by Reuters. Shares were up 6% by the end of the session, though the European banking sector closed 1% lower.

Euro zone inflation came in higher than expected for August, according to preliminary data, remaining unchanged from July at 5.3%.

On Wednesday, Spain reported flash inflation up 2.6% year on year for August, in line with analyst expectations, while Germany reported a 13.2% drop in imports for the year to July, the sharpest drop since January 1987.

Asia-Pacific markets were mixed as China's factory activity contracted for a fifth straight month in August.

U.S. stocks opened higher Thursday after the broad market index notched a fourth-straight positive day.

Stocks on the move: Ocado, UBS climb; Pernod Ricard down

Grocery delivery firm Ocado topped European share gains Thursday afternoon, rising 8% to its highest level since early August.

UBS climbed 6% after reporting $28.88 billion second-quarter net profit in its first results following its takeover of Credit Suisse.

Analysts said the results were likely to boost confidence in the Swiss bank, with the underlying business appearing stable.

Near the bottom of the Stoxx 600, French drinks group Pernod Ricard slipped 6.3% after reporting full-year results which beat expectations but warned of a sales slowdown in China and the U.S.

— Jenni Reid

U.S. stocks open higher

U.S. stocks opened higher on Thursday, as a late August rebound continued on Wall Street.

The Dow Jones Industrial Average added 97 points, or 0.3%. The S&P 500 climbed 0.2% while the tech-heavy Nasdaq Composite gained 0.3%.

— Brian Evans

No more ‘bodies in the cupboard’ for UBS after Credit Suisse acquisition: Lakefield Partners

Bruno Verstraete, partner at Lakefield Partners, discusses the positive market reaction to UBS' massive second-quarter profit and announcement that it will fully absorb Credit Suisse's Swiss banking division.

Euro zone inflation higher than expected for August

Euro zone inflation was higher than expected for August, matching July's figure of 5.3% and continuing to stay well above the 2% target set by the European Central Bank, according to preliminary data.

The number suggests the bank may continue to hike interest rates in September as European governments struggle to tackle sticky inflation.

The full story can be found here.

— Hannah Ward-Glenton

Pernod Ricard shares drop after flagging China and U.S. slowdown

Shares of Pernod Ricard were down almost 4% in morning trade after the company warned of an upcoming sales decline in China and the U.S.

The owner of Mumm Champagne, Absolut Vodka and Jameson Irish Whiskey reported a 10% sales uptick for the last financial year, but said net sales would decline owing to the "challenging macroeconomic environment."

— Hannah Ward-Glenton

Glencore shares drop 5% on reports investors seeking damages after 'untrue statements'

Shares of Glencore were down 5% on reports that dozens of asset managers accused the trading house of lying in previous prospectuses to cover up corrupt activities, the Financial Times reported.

Nearly 200 funds are seeking damages from Glencore on claims that "untrue statements" led claimants to suffer losses totaling more than £3.7 billion ($4.7 billion), the FT reported.

Glencore declined to comment when contacted by CNBC.

— Hannah Ward-Glenton

Microsoft to unbundle Teams software in Europe in bid to abate EU antitrust concerns

U.S. tech giant Microsoft on Thursday said it will unbundle its chat and videoconference service Teams from its Microsoft 365 productivity suite, in a bid to allay European Union antitrust concerns.

Starting Oct. 1 this year, Microsoft will sell these packages without Teams at a discounted price totaling a 24 euro ($26) per year reduction in the EEA (European Economic Area) and Swiss regions.

European Union regulators had in July opened an antitrust investigation into Microsoft's bundling of Teams with other Office products, citing anti-competitive concerns.

You can read the full story here.

— Ruxandra Iordache

CNBC Pro: UBS says this is how to play China right now — and shares its top stock picks

UBS says this is how to play China right now — and shares its top stock picks.

CNBC Pro subscribers can read the full story here.

UBS CEO Sergio Ermotti discusses first earnings report since Credit Suisse acquisition

UBS CEO Sergio Ermotti speaks to CNBC following the bank's first earnings report since its acquisition of stricken rival Credit Suisse was completed in June. UBS posted a $29 billion net profit as a result of negative goodwill from the deal.

European stocks on the move: Rockwool up 6%, Ambu down 8%

Danish wool manufacturer Rockwool saw shares jump 6% in early trade after releasing first-half results, despite a "depressed" construction market.

Sales declined overall in the second quarter but profitability returned "to more satisfactory levels," CEO Jens Birgersson said in a press release.

Shares of Danish health-care company Ambu fell 8% after the company delivered an interim report for the third quarter.

— Hannah Ward-Glenton

European equity markets open higher

European markets opened higher Thursday after UBS posted its first set of results since the bank completed its takeover of Credit Suisse.

The pan-European Stoxx 600 was up 0.1% at the start of trading on the final day of the month, with most sectors trading in positive territory. Financial services led gains with a 1.2% uptick, while food and beverages dropped 0.5%.

— Hannah Ward-Glenton

French inflation higher than expected

French inflation increased more than anticipated in August as energy price pressures reemerged while food prices eased.

Consumer prices increased 5.7% over the last 12 months, up from 5.1% in July, according to the INSEE statistics agency.

The figure comes in higher than the 5.4% forecast by economists polled by Reuters.

— Hannah Ward-Glenton

UBS posts $29 billion second-quarter profit, announces full absorption of Credit Suisse's Swiss bank

UBS on Thursday posted a second-quarter profit of $28.88 billion in its first quarterly earnings since Switzerland's largest bank completed its takeover of stricken rival Credit Suisse.

UBS said the result primarily reflected $28.93 billion in negative goodwill on the Credit Suisse acquisition. Underlying profit before tax, which excludes negative goodwill, integration-related expenses and acquisition costs, came in at $1.1 billion.

The group also announced that Credit Suisse's stalwart domestic banking unit will be fully integrated into UBS, with a merging of legal entities expected to close in 2024.

The fate of Credit Suisse's flagship Swiss bank, a key profit center for the group and the only division still generating positive earnings in 2022, was a focal point of the acquisition.

The emergency rescue deal that saw UBS purchase Credit Suisse at a heavily discounted 3 billion Swiss francs was mediated by Swiss authorities over the course of a weekend in March.

Read the full story here.

— Elliot Smith

CNBC Pro: Look beyond the 'Magnificent Seven' tech stocks, analyst says — and names 5 top picks

When it comes to picking stocks, Hannah Gooch-Peters of asset management firm Sanlam Investments UK avoids chasing trends.

She said she believes investors need to look beyond the "Magnificent Seven," referring to Apple, Amazon, Alphabet, Meta, Microsoft, Nvidia and Tesla — tech stocks that have made massive gains this year.

The global equity investment analyst told CNBC Pro Talks that the firm looks for high-quality companies all over the world, and shared her "very specific" definition of quality.

Gooch-Peters names her top five stock picks.

CNBC Pro subscribers can read more about them here.

— Weizhen Tan

ADP report shows slower-than-expected job growth

The ADP private payrolls report showed slower-than-expected job growth in August.

Private employers added 177,000 jobs in August, according to ADP, well below the revised total of 371,000 jobs added in July. Economists surveyed by Dow Jones were expecting 200,000 jobs added in August.

The firm also said that pay growth slowed for workers who changed jobs and those who stayed in their current positions.

—Jesse Pound

CNBC Pro: Look beyond the 'Magnificent Seven' tech stocks, analyst says — and names 5 top picks

When it comes to picking stocks, Hannah Gooch-Peters of asset management firm Sanlam Investments UK avoids chasing trends.

She said she believes investors need to look beyond the "Magnificent Seven," referring to Apple, Amazon, Alphabet, Meta, Microsoft, Nvidia and Tesla — tech stocks that have made massive gains this year.

The global equity investment analyst told CNBC Pro Talks that the firm looks for high-quality companies all over the world, and shared her "very specific" definition of quality.

Gooch-Peters names her top five stock picks.

CNBC Pro subscribers can read more about them here.

— Weizhen Tan

European markets: Here are the opening calls

European markets are set to open higher Thursday, according to IG data. Britain's FTSE 100 is seen up 5.8 points to 7,481.8 and Germany's DAX is forecast to jump 18.4 points to 15,924.5. France's CAC is estimated to move 7.7 points to 7,378.4, while Italy's MIB looks set to rise 0.8 points to 29,023.3.

— Hannah Ward-Glenton