European shares likely to open relatively mixed as investors wait for Trump’s decision on Iran deal

European shares is expected to open mixed on Tuesday morning, as investors await critical news surrounding the Iran nuclear accord.

The U.K.’s FTSE 100 opens back up for trading on Tuesday, set to open 14 points higher at 7,581. Elsewhere, the French CAC 40 is expected to open relatively flat at 5,531, while Germany’s DAX is poised to start the day lower by 5 points at 12,943, according to IG.

After oil prices climbed to fresh highs Monday, the energy market pared back its gains on Tuesday as political news curbed sentiment. On Tuesday, crude futures fell into the red with U.S. WTI slipping below $70 a barrel, while Brent hovered around $75.40.

Prices were under pressure as the market grew nervous over an announcement by the U.S. administration, concerning the Iran nuclear deal.

President Donald Trump is expected to make a statement on the future of an international nuclear agreement. In the past, the incumbent has frequently threatened to withdraw the U.S. from the deal, which lifted sanctions on Iran in return for the country to pull back on its nuclear ambitions, unless nations in Europe that took part in the accord, amend what Trump sees as weak points of the deal.

Despite Trump’s threats to withdraw, President Hassan Rouhani stated that Iran had a plan to counter any move made by Trump when it comes to the 2015 agreement; Reuters reported. The U.S. leader is widely expected to pull out from the agreement, however Rouhani said Sunday, that this would be “making a mistake.”

While oil and politics are set to be big topics for markets, participants will also be turning their attention to the corporate space. In earnings, Adecco, LafargeHolcim, Continental, E.ON, Munich Re and Deutsche Post are all scheduled to publish their latest corporate results.

Sticking with business, Comcast is looking into a $60 billion all-cash bid to surpass Walt Disney on its deal to acquire the majority of Twenty-First Century Fox’s assets, if the U.S. government goes on to approve the acquisition of Time Warner by AT&T, people familiar with the matter have revealed.

The U.S. broadcaster has also got plans to acquire the whole of Britain’s broadcast firm, Sky, as part of an improved all-cash bid.

In central banking news, Fed Chair Jerome Powell is expected to be in Zurich this morning, taking part in the Swiss National Bank and International Monetary Fund’s High Level Conference on the international monetary system. No major economic data are expected on Tuesday.

Source: CNBC