European markets set to open in mixed territory as Iran's peace talks stall

European stock markets are poised to open in mixed territory as investors react to stalled peace negotiations between the United States and Iran. The U.K.’s FTSE index is expected to rise slightly by 0.15%, while Germany’s DAX and France’s CAC 40 are forecast to open flat, and Italy’s FTSE MIB is set to decline by 0.13%. The market uncertainty follows U.S. President Donald Trump’s rejection of Iran’s counterproposal aimed at ending the ongoing conflict in the Middle East. Iran’s response to U.S. peace overtures, reported by the semi-official Tasnim news agency, demands a comprehensive end to hostilities on all fronts and the lifting of international sanctions. However, President Trump described the proposal as “totally unacceptable” on social media, signaling a continued impasse. Israeli Prime Minister Benjamin Netanyahu also emphasized that the conflict with Iran remains unresolved, underscoring the shared U.S.-Israeli objective to limit Tehran’s nuclear ambitions. The geopolitical tensions have influenced global markets, with oil futures rising amid concerns over Middle East stability, while U.S. stock futures declined in overnight trading. Additionally, attention is turning to President Trump’s upcoming visit to China, where he is scheduled to meet with Premier Xi Jinping to discuss a broad agenda including trade relations, rare earth export controls, and wider geopolitical issues. No significant corporate earnings or economic data releases are expected in Europe on Monday, leaving markets primarily focused on these geopolitical developments.