The major indices of the Old Continent are using the start of the session to undergo a horizontal consolidation following their recent climb. This rally was fueled by the framework agreement reached between Iran and the United States, which notably allowed crude oil prices to return to levels seen in early March, shortly after the conflict began.

This morning, oil continues to retreat, with Brent in London down 0.59% at $78.93 and WTI in New York falling 1% to $75.80. Investors are now hoping for a swift reopening of the Strait of Hormuz and a resumption of maritime traffic to mitigate inflationary pressures and concerns regarding further monetary tightening.

Monetary policy will take center stage today with the Federal Reserve's interest rate decision scheduled for this evening. The Fed is expected to maintain the status quo during the first FOMC meeting under its new chair, Kevin Warsh, whose press conference is likely to draw more scrutiny than usual.

Meanwhile, in the currency markets, the euro is slightly lower against the greenback (-0.07%), trading at $1.1602.

Key Statistics to Watch

At 11:00 AM, investors will focus on Eurozone inflation data for May. Estimates suggest a monthly increase of 0.1% and an annual rate of 3.2%.

In the afternoon, attention will shift to the United States for retail sales, pending home sales, and crude oil inventories.

Corporate News

In corporate developments, Orange is the steepest decliner on the CAC 40, falling 3.60%. Barclays resumed coverage of the stock with an equal-weight rating and a price target of €17.

Conversely, in the red, Medincell is plunging 12.06% after the company reported a significant decline in its annual results.

Elsewhere in Europe, it is also a difficult session for BMW, which is tumbling 6.29%. Yesterday evening, the German automaker revised several of its financial forecasts downward, notably slashing its margin target by half.