This is CNBC's live blog covering European markets.

European markets fell on Tuesday, as traders followed U.S. Federal Reserve Chair Jerome Powell's congressional testimony.

The pan-European Stoxx 600 closed 0.8% lower provisionally after trading flat for most of the session, as all sectors slid into the red. Mining stocks led losses, down 2.5%, while tech stocks fell 1.8%.

Among stocks, meal delivery company Hellofresh was the worst performer, down 9.8% after reporting higher revenue and profits but forecasting lower 2023 profit than analysts had expected.

Powell warned interest rates are likely to be higher than central bank policymakers previously expected.

"If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes," he added.

The British pound was down 1.37% against the U.S. dollar to $1.186 at 4:30 p.m. London time, extending earlier losses. The euro was down 0.96% to $1.0575.

Earlier in the day, Bank of England rate-setter Catherine Mann said the pound would face downward pressure if markets had underestimated Fed hawkishness.

U.S. stocks fell as the testimony began. Trade was mixed overnight in the Asia-Pacific region.

U.S. stocks open flat ahead of Powell testimony

U.S. stocks opened flat on Tuesday as Wall Street awaited Federal Reserve Chari Jerome Powell's testimony.

The Dow Jones Industrial Average traded flat, while the S&P 500 dipped 0.06%. The Nasdaq Composite inched 0.04% higher.

— Samantha Subin

Schaeffler CEO: We’ve decided not to neglect opportunities in hybrid vehicles

Klaus Rosenfeld, CEO of the German automotive supplier, discusses its earnings and how the firm is approaching the automotive industry's transition to electric vehicles.

British pound and euro weaken against dollar

Dollar strength ahead of Federal Reserve Chair Jerome Powell's speech on Tuesday pushed the British pound 0.3% lower on the day, as it traded at $1.198 at midday London time.

Bank of England rate-setter Catherine Mann said in the morning that the pound could face downward pressure if investors have not yet fully priced in hawkish signals from the Fed and the European Central Bank, Reuters reported.

The euro was 0.22% lower against the greenback at $1.0655.

The dollar also strengthened against the Swiss franc and the yen, and Treasury yields fell.

Stock markets were broadly steady ahead of the closely-watched remarks through which investors will pore for clues on the interest rate outlook.

— Jenni Reid

France rocked by pension reform strikes

Many trains and flights have been cancelled in France, where schools are closed and fuel deliveries are blocked from leaving refineries, as thousands of workers protest President Emmanuel Macron's pension reforms.

Thierry Cotillard, head of French supermarket group Les Mousquetaires, expects that the strike action could lead to a petrol shortage by the end of the week, according to the BBC.

The government wants to raise the retirement age from 62 to 64 and pass other measures to shore up the pension system, which runs a projected annual deficit of 10 billion euros ($10.73 billion) each year between 2022 and 2032

The moves are opposed by a majority of the public, and some unions are vowing rolling strike action to pressure Macron. Macron seeks to pass the reforms in parliament, where he does not have a majority, or potentially use special constitutional powers to force them through.

Markets appeared to brush off the disruption, with France's CAC 40 trading 0.15% higher by early afternoon Paris time.

Read the full story.

— Jenni Reid

Banks and energy companies could keep paying decent dividends, portfolio manager says

Jane Shoemaker, client portfolio manager at Janus Henderson, discusses the company's latest global dividend index.

HelloFresh down 11% on adjusted 2023 outlook

Shares of HelloFresh fell as much as 11% in early trade as the company's outlook for 2023 missed expectations. Losses then recovered slightly to 9% by 8.15 a.m. London time.

The German meal kit delivery service adjusted its EBITDA for the upcoming year from 547 million euros ($585 million) to between 460 million and 540 million euros.

Co-founder and CEO of HelloFresh Dominik Richter said 2022 had posed "a whole new set of challenges" but that in a difficult macro environment the company had still posted "healthy growth rates and maintained strong levels of profitability."

— Hannah Ward-Glenton

CNBC Pro: Citi sees chip stocks hitting 'new lows.' Here are its top picks to ride out the storm

Although chip stocks have broadly rebounded this year, Citi warns that they could be about to hit new lows as companies trim guidance.

Given its bearish stance, the bank identifies one buy-rated stock as the "most defensive name" and a number of others it says offer the most upside once the downturn is over.

CNBC Pro subscribers can read more here.

— Weizhen Tan

CNBC Pro: U.S. stocks are on a 'suckers' rally' and a big pullback is possible, chief investment officer says

The recent rise in stocks is a "sucker's rally," according to chief investment officer Peter Toogood.

The CIO of U.K.-based financial services company Embark Group said he now expects a pullback in U.S. equities, after the S&P 500 rose by 14% since the start of October.

CNBC Pro subscribers can read more here.

— Ganesh Rao

China's exports and imports fall as trade surplus beats expectations

China saw its exports fall by 6.8% in February, declining less than expectations of a 9.4% drop, according to economists surveyed by Reuters. The drop was also less than the previous month's fall of 9.9%.

Imports also fell 10.2%, down more than expectations to see a drop of 5.5% on an annualized basis and a further decline from the previous month's contraction of 7.5%.

The economy's trade surplus in U.S. dollar terms were at $116.88 billion, higher than expected and an increase from the previous month's surplus of $78 billion.

— Jihye Lee

CNBC Pro: We're in another bear market rally, investor says, naming the stocks and more to trade it

New bull market or yet another bear market rally? Veteran investor Michael Landsberg is in the latter camp.

"Patience, as well as careful individual stock selection, is key going forward," says veteran investor Michael Landsberg, naming several opportunities still present in the market.

Pro subscribers can read more here.

— Zavier Ong

CNBC Pro: Citi sees chip stocks hitting 'new lows.' Here are its top picks to ride out the storm

Although chip stocks have broadly rebounded this year, Citi warns that they could be about to hit new lows as companies trim guidance.

Given its bearish stance, the bank identifies one buy-rated stock as the "most defensive name" and a number of others it says offer the most upside once the downturn is over.

CNBC Pro subscribers can read more here.

— Weizhen Tan

European markets: Here are the opening calls

European markets are heading for a mixed open Tuesday.

The U.K.'s FTSE 100 index is expected to open 19 points higher at 7,945, Germany's DAX 20 points higher at 15,669, France's CAC up 10 points at 7,383 and Italy's FTSE MIB down 16 points at 27,953, according to data from IG.

Data releases include Irish inflation data for February, while earnings come from Greggs, Reach, Man Utd, Nielsen, Zalando, Schaeffler, Henkel, and Lego and HelloFresh.

— Holly Ellyatt