European shares rose on Friday and were on track for weekly gains as oil prices declined, although investors remained cautious about developments in the Middle East.
The pan-European STOXX 600 index rose 0.7% to 640.66 points, putting it on course for its first weekly gain after three consecutive weeks of losses. Most regional markets also advanced.
Oil prices fell after two sessions of gains as investors assessed the prospects of a ceasefire between the United States and Iran, alongside Iranian President Masoud Pezeshkian’s pledge never to surrender and the Houthis’ strikes on Saudi Arabia.
Energy stocks were among the biggest decliners, falling 0.7%.
In contrast, airline stocks, which are sensitive to fuel costs, gained, with Ryanair and Lufthansa each rising more than 2%. The travel and leisure sector index climbed 1.2%.
Separately, a survey showed that consumer confidence in Germany fell more sharply than expected ahead of October, after rising energy prices weighed on households’ income expectations. Germany’s DAX index rose 0.6%.
Among individual stocks, Finnish industrial equipment maker Konecranes jumped 5.1% after launching a share buyback program and raising its financial targets.
Source: Reuters
