Wednesday 08/April/2026 – 07:48 PM
achieved European stocks A strong jump, recording its best daily performance since the beginning of the year, driven by the announcement of a truce between the United States and Iran, which strengthened investors’ optimism about the possibility of the return of trade movement through the Strait of Hormuz.
The Iran truce pushes European stocks to their largest daily gains in 2026
According to Reuters, the European STOXX 600 index rose by 3.7% to reach 612.32 points, achieving the largest daily gains in a year. The main stock exchanges also witnessed a noticeable rise, as the German DAX index jumped 4.7% and the French CAC 40 rose 4.5%.
This rise came after a two-week ceasefire agreement, shortly before the expiration of a US deadline for Iran regarding the reopening of the Strait of Hormuz, which contributed to the decline in oil prices to less than $100 per barrel, despite continuing regional tensions.
The gains extended to most sectors, especially travel, industry and banks, which benefited from lower energy costs and declining bond yields. Steel and technology stocks also rose supported by improved economic expectations.
On the other hand, energy sector shares declined, as Shell shares fell after lowering gas production expectations, despite indicating improved oil trading profits.
The volatility index, which measures investor fears, also fell below 25 points for the first time in more than three weeks, indicating improved market sentiment.
This recovery comes after a period of pressure on European markets as a result of geopolitical tensions and the region’s heavy dependence on energy imports.
