European shares edged higher on Tuesday following the release of softer-than-expected US inflation data and as investors welcomed the country’s president, Donald Trump, stepping back from plans to charge ships a 20 per cent toll on their cargo for safe passage through the Strait of Hormuz. Trump had threatened on Monday that he would impose such a charge, following an escalation of US strikes on Iran and counterstrike by Tehran on US allies in the region. The pan-European Stoxx 600 index inched 0.2 per cent higher to 642.10.DublinThe Iseq All-Share index dipped 0.04 per cent to 13,756.67. Cairn Homes fell 1.6 per cent to €2.41, while Glenveagh Properties dipped 0.4 per cent to €2.39. House building activity slumped last month as rising costs sparked by the US-Iran conflict slowed construction countrywide, according to data published on Tuesday by AIB. However, banks were higher, with AIB advancing 0.3 per cent to €10.46 and Bank of Ireland gaining 0.5 per cent to €17.76, as global followers of the sector digested a slew of update earnings reports from US banks. Ryanair rallied 0.5 per cent to €26.37 to recover some of its losses on Monday and earlier on Tuesday as a result of a spike in fuel prices. LondonThe FTSE 100 index closed up 0.3 per cent at 10,529.39.Of Irish interest, DCC dipped 0.6 per cent to £63.15 (€74), even though two US private equity firms – KKR and Energy Capital Partners – were said to be nearing a deal to buy the group for £66.72 per share, including the payment of its planned £1.47 final dividend. The oil price rise boosted BP, up 2.3 per cent, and Shell, up 1.2 per cent. BP gains came as it also delivered a strong second quarter trading update with the higher oil price supporting margins while it also made progress lowering debt. Higher metals prices boosted mining stocks, while a downgrade by JP Morgan helped send education publisher Pearson down 6.8 per cent.On the FTSE 250 Genus rose 3.7 per cent after saying it expects annual profit to come in ahead of market expectations, after a better than expected second half. The animal biotechnology and genetics company now expects adjusted pretax profit for the year to June 30 to rise 32 per cent. Meanwhile among smaller firms, Dublin-based oil and gas company Aminex shares closed 43 per cent lower after it partner on a Tanzania project, Ara Petroleu, said it wants to delay first gas from the Ntorya development. EuropeIn European equity markets on Tuesday, the CAC 40 in Paris ended up slightly, while the Dax 40 in Frankfurt rose 0.1 per cent.Among individual movers, Evotec plummeted 30 per cent after the German drug discovery firm ​cut its 2026 outlook.Mycronic surged 13 per cent after the Swedish electronics equipment maker raised its full-year guidance on strong AI demand. New YorkWall Street’s main indexes were ahead in early afternoon trading after softer-than-expected inflation data fuelled hopes the Federal Reserve could adopt a less hawkish stance on interest rates, while upbeat second-quarter ​results lifted most of the big bank stocks.The data showed that the consumer price index rose 3.5 per cent in June from a year earlier, below Reuters-polled economists’ forecast of 3.8 per cent.IBM shares lost more than a quarter of its value in early trading after the software and consulting firm forecast preliminary second-quarter revenue below estimates. Shares of some other software companies, including Oracle and Service Now, also fell. Big bank ⁠results kick-started the second-quarter ​earnings season on Wall Street. Goldman Sachs gained after it exceeded second-quarter profit expectations, as deal making picked up pace and market volatility due to the Middle East war boosted the equities business to a record.JPMorgan Chase, Bank of America, and Citigroup also advanced after reporting solid second-quarter results. – Additional reporting, Reuters, Press Association