European stocks are likely to open higher on Tuesday as oil prices fell from two-week highs amid hopes of a de-escalation in the West Asia conflict.
Higher bond yields may limit potential gains to some extent, with the yield on the U.S. 30-year bond edging up by one basis point to 5.13 percent on worries that the Federal Reserve may keep interest rates higher for longer. The Fed funds futures market is currently pricing in an increase in rates as soon as December.
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Market Analysis
May 22, 2026 14:46 ET Minutes of the latest Fed policy session was the highlight of the week along with survey data on the U.S. housing market. In Europe, survey data signaled the trends in the euro area private sector. Further, consumer price inflation data from the U.K. was in focus. In Asia, various economic indicators from China drew attention to the health of the economy.