European stocks cautious amid political tensions

European stocks slightly declined at the start of the third quarter, as signals indicated that peace talks between Iran and the United States have reached a dead end, prompting investors to adopt a cautious approach. The Stoxx 600 index fell by 0.1% to 640.79 points, with market sector performances remaining mixed, particularly the technology sector which remained stable after a strong quarterly performance. The Iran-U.S. negotiations have stalled, increasing political uncertainty and impacting investor confidence, while markets continue to watch for remarks from European Central Bank officials and the Federal Reserve Chairman regarding the expected interest rate hikes.

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