European Shares Set For Softer Opening Ahead Of Fed Decision

(RTTNews) - European stocks are seen opening on a cautious note on Wednesday as investors seek more clarity on the U.S.-Iran interim peace deal and await the U.S. Federal Reserve's interest-rate decision later in the day for new insights on policy signals under the new Fed Chair.

Oil prices hovered near three-month lows, helping ease worries about inflation and the outlook for interest rates.

That said, investors await more clarity on the U.S.-Iran interim peace deal that will be formally signed on Friday in Switzerland.

According to Bloomberg, Iran could have access to up to $300 billion in reconstruction funds as part of its agreement with the United States.

The proposed agreement could unlock billions in frozen Iranian assets and allow the country to immediately begin selling oil and fuel.

U.S. stock index futures traded higher ahead of the Federal Reserve's rate decision later in the day.

The U.S. central bank is widely expected to keep interest rates unchanged, with traders likely to scrutinize the policy statement, updated economic projections, and Warsh's first post-meeting press conference for additional clues on the Fed's rate trajectory.

U.S. retail and pending home sales readings for May along with consumer price index data from the U.K. and the European Union may also garner some attention as the session progresses.