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European stocks are stabilizing near their lowest levels in more than a month, amid ongoing selling pressures that are reducing liquidity and weighing on stock valuations, particularly as government bond yields rise, which diminishes the present value of future profits and impacts sensitive sectors such as technology, real estate, and clean energy. Additionally, geopolitical tensions and rising oil prices after U.S.-Iran strikes in the Gulf have heightened fears of persistent inflation, supporting expectations of further tightening by central banks like the Federal Reserve and the European Central Bank.
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