European shares seen opening lower as markets price 50 bps Fed hikes and tech stocks slip

European share futures fell early Tuesday, with STOXX 600, DAX and CAC 40 futures down 1.1%, 1% and 0.8%, respectively. Markets have reinforced expectations that the Federal Reserve will raise rates by a total of 50 basis points by year-end, while the European Central Bank is also seen adding another 25 bps later this year. Higher borrowing costs are weighing on firms’ ability to finance AI-related spending, pressuring the previously leading European tech sector and dragging on the main indexes.