European stocks opened higher on Wednesday, as investors continued to assess recent military developments related to Iran and falling oil prices.
The pan-European STOXX 600 index rose 0.2% to 629.82 points, Germany’s DAX index gained 0.6% to 25,350.51 points, and France’s CAC 40 climbed 0.5% to 8,214.86 points, while Britain’s FTSE index slipped 0.1% to 10,476.97 points.
Shares in car companies led the gains among European sectors, after the sector rose by about 1.6% in early trading.
The war in Iran remains a focus of attention for European markets, after regional stocks closed lower on Tuesday following US strikes in southern Iran that the US Central Command described as defensive, targeting missile launch sites and Iranian vessels that Washington said were trying to plant sea mines.
In response, the Iranian Foreign Ministry accused the United States of flagrantly violating the fragile ceasefire agreement between the two countries.
US Secretary of State Marco Rubio said the Strait of Hormuz would open one way or another, indicating the importance of restoring navigation through the vital waterway.
The latest escalation came despite previous indications from US President Donald Trump that a peace agreement was possible, after he said in a post on the Truth Social platform that negotiations were going well.
In energy markets, oil prices fell on Wednesday, with Brent crude dropping 1.9% to $97.69 a barrel, while U.S. West Texas Intermediate crude fell 2.4% to $91.65 a barrel.
Asia-Pacific markets also rose, with major indexes in Japan and South Korea hitting new record highs, while U.S. stock futures were nearly flat after a technology-led rally pushed the S&P 500 and Nasdaq Composite to new record highs.
European markets did not see any major announcements today regarding corporate results or economic data.
