European stock markets hit their highest since March 2 on Monday as hopes for a deal between the US and Iran grew over the weekend.
The pan-European Stoxx 600 index rose more than 0.8% just after 1:30 p.m. in London, reaching levels not seen since the United States and Israel launched a joint offensive against the Islamic Republic more than two months ago. french CAC40 and german dachshund They added 1.8% and 1.6%, respectively. Trading volumes have been thin as the UK’s FTSE 100 is closed for a public holiday.
European stocks are tracking gains in Asia after Japan’s Nikkei average exceeded 65,000 yen for the first time on Monday.
Japan’s composite index hit a record high in quiet holiday trading in Asia as oil prices fell and investor sentiment increased following reports that the crucial Strait of Hormuz may reopen soon.
President Donald Trump said in a post on Truth Social that negotiations with Iran are “proceeding in an orderly and constructive manner,” adding that he told delegates “not to rush into a deal because time is on (their) side.”
Oil prices fell more than 5% following Trump’s comments, reducing pressure on investors.
European stocks rose for the fifth day in a row, with gains expected to widen on Friday.
Meanwhile, euro zone bond yields fell on Monday after progress in peace talks over the weekend eased traders’ inflation concerns and eased expectations for central bank interest rate hikes.
The yield on Germany’s two-year Bundestag, which is sensitive to interest rate expectations, fell by more than nine basis points to 2.546%, its lowest level since May 8.
In corporate news, Delivery Hero shares rose more than 10% on Monday afternoon after a report in the Financial Times that U.S. rival Uber was considering improving its bid for the German food delivery company.
Delivery Hero confirmed in a statement on Saturday that it had received a takeover offer from Uber of 33 euros (approximately $38.29) per share, which would give the company a market capitalization of more than 10 billion euros.
The German company added: “We remain fully focused on carrying out the strategic review process and further updates will be provided as necessary or appropriate.”
—CNBC’s Justina Lee contributed to this report.
