The unchanged inflation rate has also dampened hopes for an interest rate cut by the Bank of England in August, with the odds of a cut dropping from 49% to 33%. 

In corporate news, HSBC has announced Georges Elhedery as its new Chief Executive Officer, effective September. Elhedery, currently the Chief Financial Officer, will take over from Noel Quinn.

Mitie Group has acquired ESM Power, an electrical engineering business, for up to GBP 8.5 million. This acquisition aims to bolster Mitie's position in the power connections market.

Across the pond, a radical policy platform called Project 2025, spearheaded by figures close to Donald Trump, has raised eyebrows. The 887-page "Mandate for Leadership" outlines plans to replace thousands of federal workers with ultra-conservative loyalists and centralize power in the White House, sparking concerns about the future of American democracy.

Key economic events for Wednesday include Eurozone inflation data, US building permits, US industrial production and US EIA crude oil stocks.