The Russian rouble strengthened to levels not seen since March 2018 against the dollar on Tuesday, boosted by export-focused companies selling foreign currency to pay taxes and shrugging off a slight easing of capital controls.

The dollar hit a fresh one-month low on Tuesday as the euro extended gains while a broad selloff in stock markets failed to boost the U.S. currency's safe haven appeal.

A sustained rebound in services helped business activity in Germany grow again in May, though there are signs that rising prices, market uncertainty and supply problems are starting to put pressure on demand, a preliminary survey showed on Tuesday.

LONDON (Reuters) -Britain's accounting watchdog said on Tuesday it has fined KPMG 3.3 million pounds ($4.16 million) over the company's audit of aero engine maker Rolls-Royce more than a decade ago.

European shares fell sharply at the open on Tuesday, tracking declines in global stock markets on renewed growth worries, with investors watching out for May Purchasing Managers Index data due in the morning session.

European Central Bank President Christine Lagarde openly admitted for the first time what investors had already been betting on for a while: negative interest rates, a eurozone feature for eight years, will most likely be gone by the end of summer.