European shares edged higher on Monday to start August on a strong note after U.S. President Donald Trump said talks with Iran were due later in the day, lifting hopes of a diplomatic breakthrough that could ease soaring oil prices.
Market Impact
The pan-European STOXX 600 index was up 0.4% at 651.88 by 7:09 GMT. Energy stocks fell 2% as oil futures dropped about 5.9% after Trump held off on a fresh attack on Iran, seeking a quick deal to curb Tehran’s nuclear ambitions and reopen the Strait of Hormuz.
Travel and leisure sector, on the other hand, gained 2.1%. The benchmark STOXX 600 rose more than 1% in July, with strong earnings helping offset concerns over the U.S.-Iran conflict, which had pushed Brent crude above $90 a barrel.
Prysmian rose 1.5% after agreeing to buy U.S. electrical products maker Atkore for $95 per share in cash, implying an enterprise value of about $3.8 billion. AstraZeneca shares tumbled 7% after a reported possible combination of the European pharmaceutical giant with U.S.-based Bristol Myers Squibb.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
