Market Report

European stocks were lower Tuesday, as investors in the region weigh up political uncertainty in France after Sunday’s election result. The left-wing New Popular Front won the largest number of seats in the final round of voting. The alliance failed to secure an absolute majority, however, meaning a coalition or technocratic government is on the cards, making legislation and reforms harder to pass.

The S&P 500 and the Nasdaq hit record highs on Tuesday, powered by semiconductors and megacaps, as Congress heard testimony from Federal Reserve Chair Jerome Powell, who said more "good" economic data would strengthen the case for interest-rate cuts.

The dollar gained on Tuesday after Federal Reserve Chair Jerome Powell acknowledged progress in inflation, but did not give a clear signal that the U.S. central bank is close to cutting interest rates.

Oil prices fell for the third straight session on Tuesday, as Gulf Coast production and refining infrastructure appears to have avoided substantial damage from Tropical Storm Beryl.

Gold retreated after it became clear that was unlikely to be an imminent cut in US interest rates.

In market news:

BP fell 3.93% after the oil major said in a trading statement it expected a second-quarter earnings hit of $1 billion to $2 billion from impairments, and of $500 million to $700 million due to “significantly lower realized refining margins.”

Shares in Novo Nordisk, which makes the obesity drug Wegovy, fell 1.5% after analysis by the JAMA Internal Medicine journal indicated that Wli Lilly's rival treatment led to greater weight loss.