European equities inched higher on Wednesday, with both the STOXX 50 and the broader STOXX 600 up about 0.1%, as a drop in oil prices pulled bond yields lower amid optimism that the Strait of Hormuz may soon reopen. Iran said it has resumed talks with Oman on managing traffic through the strait, under intensifying pressure from US President Donald Trump during a nearly six-month conflict that has unsettled oil markets and stoked worries about global inflation.
Basic Resources led sector gains, rising roughly 1%, while the Energy index fell 1.1% as Brent crude declined for a third consecutive session. Technology stocks eased slightly as investors awaited Nvidia’s Q2 results, seen as a key gauge of the momentum in AI-related spending. Markets are also focused on a crucial US inflation release later today, which could provide further guidance on the Federal Reserve’s interest-rate trajectory.
