European shares have slipped, pausing after a strong finish to the second quarter and amid caution over signs that peace talks between Iran and the US hit a new stalemate, according to Reuters.

The pan-European STOXX 600 index slips 0.3 per cent to 639.64 points by 0710 GMT after logging its strongest quarter since October 2020 in the previous session.

The technology sector, which had been a key driver over the past three months, is flat, with chip equipment maker ASML down 1.1pc and IQE and Infineon trading marginally lower. Schneider Electric loses 2.1pc after the AI equipment maker said it has signed an agreement to acquire Cognite Holding, a privately held provider of AI software and industrial data for $3.1 billion in an all-cash deal.