All eyes are on the U.S. July inflation report, which could affect expectations for the Federal Reserve’s September meeting with potential pressure from oil prices and rising chip costs.

U.S. futures were higher in early European trading as investors focused on the upcoming July inflation report; the Dow Jones and S&P 500 rose 0.05% and 0.2% respectively, while the Nasdaq climbed 0.4%.

Oil advanced amid the deadlock between the United States and Iran, and President Trump said the situation was “going fine” and that U.S. forces “own” the crucial Strait of Hormuz. Treasury yields remained steady and gold prices rose.

European markets mostly fell, with the Stoxx 600 down 0.03% and the FTSE 100 and CAC 40 slipping 0.1% and 0.2% respectively, while Germany’s DAX edged up 0.07% led by Siemens Energy and Rheinmetall. Energy stocks were higher, led by Vestas Wind Systems, up 17% after beating revenue estimates. Asian markets were mixed, with Japan’s Nikkei up 0.8%, South Korea’s Kospi up 3.7%, Hong Kong’s Hang Seng down 0.95%, and China’s Shanghai up 0.3%.