Europe midday: Shares steady as MEast tensions ease
By Frank Prenesti
Date: Thursday 26 Jun 2025
(Sharecast News) - European shares rallied on Thursday as the Israel-Iran ceasefire seemed to be holding while investors also assessed commitments by Nato member countries to lift defence spending to 5% of GDP.
The pan-regional Stoxx 600 index was up 0.21% to 538.10 in early deals after closing in the red in the previous session on fears the fragile peace between the two sworn enemies might not hold.
"A sense of calm has descended on markets this morning as high-stakes drama on the global stage took the night off," said Matt Britzman, senior equity analyst at Hargreaves Lansdown.
"US markets took a pause yesterday as investors digested recent gains, and low trading volume sapped momentum. Futures suggest a positive open later today, though, as the S&P 500 moves ever closer to fresh all-time highs.
"Easing tensions in the Middle East, the potential for rate cuts coming later this year, and stabilising oil prices are helping support a relatively positive outlook for equities despite all the background noise."
In equity news, shares in H&M jumped after the Swedish fashion retailer reported a slightly stronger second-quarter profit.
Car dealership Inchcape rose as it reiterated its full-year outlook and hailed a resilient operating performance in the first half.
Oil giants Shell and BP were in focus after Shell said it had "no "intention" of making an offer for its rival.
In a brief statement in response to media speculation on Wednesday, the company said it has not been actively considering making an offer for BP, it has not made an approach, and no talks have taken place with regards to a possible offer.
Shares of Edenred were up more than 6% after the French government published updates to plans for meal voucher reform, and ruled out imposing merchant fee caps, for the time being and indicated it wanted a shift toward digitalisation and greater market competition. The company has about 40% of France's meal voucher market
Reporting by Frank Prenesti for Sharecast.com
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN