Oil rally weighs on shares; AI earnings in focus

European shares fell and US stocks were set for a lower opening on Tuesday as rising crude oil prices dampened risk sentiment, with investors focusing on upcoming earnings from major AI companies. The pan-European STOXX 600 index dropped 0.7%, following a near 1% decline on Monday, as European semiconductor firms like ASML and ASMI fell almost 3%. Crude prices climbed to a five-month high above $111 a barrel after Yemen's Houthis claimed attacks on Saudi targets, while French stocks fell nearly 1% amid protests over budget deficit concerns. US futures on the tech-heavy Nasdaq slipped 0.7%, with quarterly results due from SpaceX and Netflix later Tuesday and AI heavyweights Meta and Tesla scheduled later this week. South Korean AI firm Elice Group dropped nearly 30% below its IPO price on debut, reflecting investor nervousness about AI capital spending returns.