FX.co ★ European Stocks Cautious to Kick Off June

European equities opened June on a softer note, with both the STOXX 50 and STOXX 600 edging down about 0.1%. Sentiment remained fragile amid persistent geopolitical tensions in the Middle East, as the lack of a long‑term agreement between the US and Iran to halt hostilities and fully reopen the Strait of Hormuz continued to weigh on markets. Over the weekend, the US reported strikes on Iranian military sites, while Iran’s Revolutionary Guards said they had targeted US interests in response.

At the stock level, Unilever (-1.0%), Airbus (-1.3%), Safran (-1.4%) and Intesa Sanpaolo (-0.8%) traded lower. In contrast, SAP (+2.0%) and Schneider Electric (+2.6%) outperformed, helping push the tech sector to its highest levels since 2020 after SoftBank Group pledged to invest €45 billion in France over the next five years to develop AI infrastructure. Elsewhere, EasyJet jumped more than 11% after stating it had not received any takeover approach from Castlelake.