European stocks may follow Asian peers lower on Wednesday after surveys pointed to rising inflation in the United States.

Energy stocks could be in focus as oil extended overnight losses on the possibility of more supply from Iran.

Asian markets fell in thin trade, with Hong Kong and South Korea closed for holidays.

Gold eased from near a four-month high as U.S. yields inched higher and the dollar steadied ahead of the release of minutes from Federal Reserve’s April policy meeting later in the day.

Bitcoin and other cryptocurrencies slumped after China reiterated that digital tokens can’t be used as a form of payment.

Consumer and producer price data from the U.K. are due later in the session, headlining a light day for the European economic news.

The European Automobile Manufacturers’ Association will release Europe’s new car registrations data.

Eurostat is scheduled to release euro area revised consumer price data for April. The harmonized inflation is expected to match the flash estimate of 1.6 percent.

Overnight, U.S. stocks ended lower for a second straight session as investors digested disappointing housing data and weighed signs of rising inflation.

The Dow shed 0.8 percent, the tech-heavy Nasdaq Composite gave up 0.6 percent and the S&P 500 dipped 0.9 percent.

European stocks ended mixed on Tuesday despite optimism around several countries easing pandemic restrictions.

The pan European Stoxx 600 edged up 0.2 percent. The German DAX slipped 0.1 percent and France’s CAC 40 index eased 0.2 percent while the U.K.’s FTSE 100 finished marginally higher after upbeat jobs data.

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