SHANGHAI (Reuters) -China's overall vehicle sales for April plunged almost 48% from a year earlier as COVID-19 lockdowns hit factories and showrooms, but sales of electric vehicles surged and Chinese brands took share from global rivals.

Panasonic Corp forecast on Wednesday flat operating profits this business year as component shortages and rising material costs continue to pose a risk to earnings.

Russian gas flows to Europe via Ukraine fell by a quarter on Wednesday after Kyiv halted use of a major transit route blaming interference by occupying Russian forces, the first time exports via Ukraine have been disrupted since the conflict began.

European shares extended their bounce on Wednesday and bond yields held below recent peaks ahead of inflation data in the United States that will offer a guide to how aggressively the Federal Reserve will raise rates.

LJUBLJANA (Reuters) -The European Central Bank is likely to end its bond-buying stimulus programme early in the third quarter of this year, followed by a rate hike that could come just "a few weeks" later, ECB President Christine Lagarde said on Wednesday.

The tide of pessimism sweeping through Britain's households is unmatched elsewhere among Europe's major economies and suggests the government may have misjudged its response to an escalating cost-of-living crunch.