European equity markets were poised to open lower on Tuesday, extending the sharp losses from the previous session as surging energy prices linked to the Middle East conflict intensified inflation fears. Rising fuel costs also pushed global bond yields higher, signaling a more hawkish shift in expectations for central bank policy.
Market participants remained focused on the risk of further escalation, with the US military expected to step up strikes against Iran and President Donald Trump offering no indication that operations would end soon. At the same time, investors were awaiting fresh Eurozone inflation data for clearer guidance on the region’s monetary policy outlook.
On the corporate front, earnings reports are due from Thales, ASM International, and Beiersdorf. In premarket trade, Euro Stoxx 50 futures were down 1%, while Stoxx 600 futures declined 0.8%.