European Shares Seen Tad Lower At Open As Hormuz Risks Mount

(RTTNews) - European stocks are seen opening a tad lower on Monday as investors weigh ongoing uncertainty surrounding the Strait of Hormuz and look forward to the release of key U.S. data this week, including the consumer and producer price index readings for additional clues on the Federal Reserve's rate trajectory.

After an unexpectedly weak July jobs report, the odds of a Federal Reserve rate hike next month have declined to 44 percent from 55 percent earlier, according to CME Group's FedWatch tool.

On the geopolitical front, Iran's parliamentary Committee on National Security and Foreign Policy has approved its own bill on managing the Strait of Hormuz.

Iran and Oman remain short of a final deal as Tehran demanded major concessions before reopening the critical waterway.

Tehran stressed that the United States must meet a number of conditions - including compensation, the lifting of sanctions, and an end to military threats - before access to the strategic waterway is restored.

U.S. President Donald Trump signaled patience and suggested that he's prepared to allow economic pressure on Iran to mount rather than escalate militarily.

Meanwhile, Iran-aligned Houthi forces have attacked Saudi Aramco's Jazan refinery, two days after the kingdom signed a defense pact with Turkey and Pakistan.

Elsewhere, UAE-based Abu Dhabi National Oil Company said 15 of its vessels had come under attack while transiting the Strait of Hormuz since the conflict began.