Indexes down in Piazza Affari and other European markets on realizations following yesterday's rally triggered by the outcome of the first round of parliamentary elections in France.

On the macro front, there is expectation for the eurozone-wide inflation figure for which the consensus forecasts a cooling in June to 2.5 percent year-on-year from 2.6 percent in the previous month.

Yesterday, meanwhile, ECB President Christine Lagarde emphasized that Frankfurt is in no hurry to cut rates again in light of the positive developments in the economy and the need for more time to be able to say that inflation is really falling toward 2 percent.

In the U.S., the Jolts on new jobs, one of the indicators most monitored by the Fed, will be released this afternoon, while tomorrow it will be the turn of the Adp data and Friday the government's numbers on employment.

Around 9:40 a.m. the Ftse Mib is down 0.66 percent.

In the banking sector selloff biggies UniCredit and Intesa Sanpaolo are down 0.6% and 0.34%, respectively. Mps loses 0.8 percent, Bper and Banco Bpm are also weak.

Cues on Leonardo up 1.6 percent on Il Sole 24 Ore rumors that the company is in "very advanced" talks with German group Rheinmetall to form an alliance on land armaments. According to broker Equita, "the agreement would be positive as it would quickly resolve the impasse that had arisen after the June 11 announcement of the halt to ongoing negotiations with Knds and would also allow Leonardo to enter the Franco-German project of the future European heavy tank."

On the flip side, sold Stellantis, which gives up 1.6 percent. Iveco is also down at -3.6 percent. For the automaker, data on June registrations in France, Italy, and Spain, which show cumulative growth of 4 percent year-on-year at the market level versus -4 percent marked by Stellantis, a broker points out.

Finally, boom debut on the Star segment for Sys-Dat with a jump of 11.75 percent. The IT services company started trading with a price of 3.4 euros in the middle of the range indicated at the IPO between 3.20 and 3.80 euros.

(Giancarlo Navach, editing Gianluca Semeraro)