FX.co ★ European Stocks Hit New Highs

European stocks inched higher on Tuesday, with both the STOXX 50 and STOXX 600 up 0.3%, extending the record highs set in the previous session. Investors continued to evaluate the preliminary agreement between the US and Iran, which aims to end the conflict and reopen the Strait of Hormuz. At the same time, the Bank of Japan raised borrowing costs in line with expectations, while the Reserve Bank of Australia left interest rates unchanged. Attention is now shifting to this week’s policy decisions from the Federal Reserve and the Bank of England, with several other European central banks, including those of Switzerland, Norway, and Sweden, also set to announce monetary policy decisions. Industrials and financials were among the day’s strongest-performing sectors.