Investors remained focused on geopolitical developments, awaiting news on negotiations between the United States and Iran, as well as Washington's plan to escort vessels currently held in the Strait of Hormuz.
Trump provided few details regarding the plan to assist ships and crews 'trapped' in this vital maritime artery, where food and other supplies are reportedly running low.
The conflict involving the US, Israel, and Iran, which has persisted for over two months, has led to a blockade of the waterway, pushing oil prices above 100 dollars per barrel amid uncertainty over the timing and nature of a resolution.
Bankinter analysts suggest the current landscape reflects a technical rebound as investors also digest Apple's encouraging figures and guidance, alongside the US decision to hike tariffs on European automobiles from 15% to 25%.
'Today's outlook is one of a rebound, with the market now accustomed to slightly higher oil prices and living with permanent geostrategic tension,' analysts noted via their Telegram channel.
On the macroeconomic front, markets will be monitoring US labor data this week -- JOLTS on Tuesday, ADP on Wednesday, and Friday's official non-farm payrolls report -- in addition to the University of Michigan consumer sentiment index and services PMI data from China and the eurozone on Wednesday.
Investors will also be tracking corporate earnings, with highlights including AMD, McDonald's, Unicredit, Philips, and BMW. In Spain, Sabadell and Unicaja are set to report on Tuesday, followed by Ferrovial on Thursday and IAG on Friday.
At 0721 GMT, Spain's benchmark IBEX 35 was down 18.80 points, or 0.11%, at 17,762.20 points, while the FTSE Eurofirst 300 index of leading European shares edged up 0.01%.
In the banking sector, Santander lost 0.15%, BBVA retreated 0.96%, Caixabank shed 0.28%, Sabadell gained 1.30%, Bankinter fell 0.18%, and Unicaja Banco remained unchanged.
Among non-financial heavyweights, Telefónica retreated 0.05%, Inditex advanced 0.12%, Iberdrola shed 0.58%, Cellnex fell 0.14%, and oil major Repsol lost 1.84%.
(Reporting by Benjamín Mejías Valencia; editing by Jorge Ollero Castela)
