World stocks pause after rally as focus turns to Warsh

MILAN, July 1 (Reuters) - World stocks edged lower on the first day of the third quarter on Wednesday after a strong rally, as investors awaited remarks from Fed Chair Kevin Warsh, while softer euro zone inflation cooled bets on further interest rate hikes.

Oil prices stayed near pre-war levels as investors ‌weighed signs that contacts between Iran and Washington aimed at reaching a final deal to end their conflict were continuing.

Traders also watched for possible Japanese intervention after ‌the yen hit fresh 40-year lows against the dollar.

The MSCI World Price Index slipped 0.1% in European afternoon trade after posting its strongest quarter in around six years, up 13% on rallying chipmakers and tech stocks.

U.S. futures and ​European shares declined slightly.

"Iran is no longer a problem. There is no peace, but there is no war either," said Carlo Franchini, head of institutional clients at Banca Ifigest, saying he viewed another European Central Bank interest rate hike later this month as unlikely.

Data backed that view. Euro zone inflation eased more than expected in June, further reducing pressure on the ECB to raise rates again after last month's first hike in nearly

Fuente original: Yahoo Finance (https://finance.yahoo.com/news/share-bond-markets-turn-cautious-015740395.html)