European stocks and U.S. equity futures experienced modest gains on Wednesday, recovering slightly from losses incurred in the previous trading session. However, this rebound was overshadowed by increasing concerns among investors regarding the economic implications of the ongoing U.S.-Israeli conflict with Iran. The recent uptick in equities followed a significant selloff that was prompted by newly released U.S. inflation data, which has heightened fears of rising inflation and its potential impact on global markets.
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