European equity markets were set to open higher on Wednesday, tracking a global rally as risk appetite improved after US President Donald Trump indicated that military operations in Iran could conclude within two to three weeks. His comments suggest that the US may have largely met its initial objectives; however, uncertainty over the precise timeline persists, and the ongoing closure of the Strait of Hormuz continues to underpin elevated geopolitical risk.
Since hostilities began on February 28, the pan-European Stoxx Europe 600 has fallen 8% in March, marking its sharpest monthly decline since 2022. On the macroeconomic front, final manufacturing PMI data are scheduled for release across the region. In pre-market trading, futures on the Euro Stoxx 50 and Stoxx 600 were up 2% and 1.6%, respectively.
