European stock indices split on Tuesday as the chip-led AI rally paused after Samsung Electronics' preliminary earnings. The Stoxx 600, the CAC and the FTSE 100 rose while the DAX slipped, and US stock futures were mixed ahead of the Federal Reserve's meeting minutes.
European shares were mixed as AI-related stocks weakened following Samsung Electronics' preliminary earnings. The Stoxx 600, the CAC and the FTSE 100 were up while the DAX edged down, and the Euro Stoxx 50 traded at 6,371.26 points, down 0.42%.
The split followed Samsung Electronics, which projected a 19-fold surge in second-quarter operating profit. But investors need confident guidance, durable pricing power and proof that AI demand is still accelerating, Saxo Markets said. The stock still rose 2.75%.
Geopolitics weighed on sentiment as well. Iran's Islamic Revolutionary Guard Corps fired missiles at two commercial ships near the Strait of Hormuz early Tuesday, the WSJ reported, citing a U.S. official. Oil prices drifted higher, with Brent crude back above its pre-war levels.
Across the Atlantic, stock futures were mixed as the chip-led AI rally paused. The Dow Jones Industrial Average was quoted at 53,055.91 points, up 0.29%, while the Nasdaq 100 stood at 29,697.87 points, up 1.26%.
Investors are now awaiting the Fed's meeting minutes due Wednesday, which could signal policy direction. According to Danske Bank, Fed Chair Kevin Warsh said a rate rise wasn't discussed in June, though the minutes could show whether he has pushed for a tighter stance. Columbia Threadneedle Investments said that if oil prices continue to normalize, inflation pressures should ease and central banks should have less need to tighten aggressively.
Sources: MarketScreener, MarketScreener
Trading involves risk.
Risk Disclaimer
