European markets are heading for a weaker open on Thursday, as investors react cautiously to uncertainty surrounding potential peace talks between Iran and the United States. The mixed signals coming from both sides have created unease across global financial markets, leaving traders hesitant to take strong positions.
Market projections show the U.K.’s FTSE 100 expected to open 0.2% lower, while Germany’s DAX could fall by 0.6%. France’s CAC 40 is also set to dip by 0.4%, with Italy’s FTSE MIB facing the steepest decline at 0.7%. The downward trend reflects growing investor concern over geopolitical instability and its possible impact on global trade and energy markets.
At the center of the uncertainty are conflicting statements from Washington and Tehran over the past two days. U.S. officials suggest that discussions on a potential peace plan are underway, while Iran has firmly denied engaging in direct negotiations. Instead, Tehran maintains that any communication has been indirect, taking place through mediators rather than formal talks.
Iran’s Foreign Minister Abbas Araghchi indicated that the country is reviewing a U.S. proposal aimed at ending the conflict, but emphasized that Iran has no intention of entering direct negotiations. Reports also suggest that Iran may reject a ceasefire offer, proposing instead a five-point plan that would grant it control over the strategic Strait of Hormuz—an area critical to global oil supply.
Beyond the Middle East tensions, investors are also watching broader global cues. Asian markets delivered mixed performances overnight, while U.S. stock futures remained largely unchanged. Attention now turns to the G7 foreign ministers’ meeting in France, where conflicts in Iran and Ukraine will dominate discussions, alongside key European earnings reports and economic data that could further shape market sentiment.
source: cnbc