FX.co ★ European Stocks Mixed After US-Iran Deal and Fed Stance

European equities were mixed on Thursday as investors weighed the implications of the US-Iran interim agreement alongside hawkish signals from the US Federal Reserve. The STOXX 50 advanced 0.3% to a fresh record high of 6,330 points, while the broader STOXX 600 slipped 0.2% to 638 points.

The tentative US-Iran ceasefire, which effectively ends the conflict and reopens the Strait of Hormuz, pushed oil prices to three-month lows and helped ease inflation concerns. At the same time, the US Federal Reserve left interest rates unchanged, but its new chair, Kevin Warsh, signaled the possibility of future rate hikes to rein in inflation.

Later in the day, the Bank of England is widely expected to keep rates on hold, with investors watching closely for any signs of dissent among policymakers that might hint at a more hawkish stance.

In corporate news, BE Semiconductor Industries slipped 0.4% despite raising its long-term revenue and margin targets. Volkswagen fell 0.5% amid reports of production issues at its Osnabrück plant linked to a key shareholder. By contrast, UniCredit gained 0.4% after approaching Delfin about increasing its stake in Generali, whose shares surged 2.6%.