European stocks turned in a mixed performance on Monday as investors largely stayed cautious amid lingering concerns about US-Iran conflict and its potential impact on global economic growth. Higher oil prices and possibility of a rate hike by the European Central Bank on Thursday weighed as well on sentiment.
Oil prices climbed higher following the United States’ attacks on Iranian tankers and Tehran’s threat of a new restricted zone outside the Strait of Hormuz raised concerns about disruptions to energy flows.
Brent Crude futures rose to $97.93 a barrel before easing to around $97 a barrel.
The pan-European Stoxx 600 settled flat at 649.90. The U.K.’s FTSE 100 edged down 0.08% and Germany’s DAX closed 0.15% down. France’s CAC 40 gained 0.33%, while Switzerland’s SMI tumbled 0.81%.
Among other markets in Europe, Austria, the Czech Republic, Finland, the Netherlands, Poland, Portugal, Russia, Sweden and Turkey closed higher.
Belgium, Iceland, Ireland, Norway and Spain ended weak, while Denmark and Greece closed flat.
Technology stocks had a profitable outing amid renewed enthusiasm for AI following the launch of GPT-6 Astra by OpenAI. Energy stocks gained on higher crude oil prices.
In the UK market, Centrica and Standard Life moved up 2.2% and 2%, respectively. Smiths Group, Shell, BP, Admiral Group, Halma, Standard Chartered, Next and Diploma gained 1%-1.4%.
AstraZeneca edged higher after receiving FDA approval for its breast cancer pill camizestrant, marketed under the brand name Etcamah.
Entain closed nearly 3% down. Haleon shed 2.7%, while Intercontinental Hotels Group, St. James’s Place, Fresnillo, Rentokil Initial, United Utilities Group, Relx, The Sage Group, Diageo and Associated British Foods ended lower by 1.5%-2.3%.
Unilever, Pearson, Melrose Industries, Severn Trent, BT Group, Pershing Square Holdings, Persimmon and Whitbread also ended notably lower.
In the German market, Infineon jumped nearly 7%. Hochtief gained about 2.5%, while RWE moved up almost 2%. Commerzbank, Siemens Energy, Continental, MTU Aero Engines and E.ON also posted strong gains.
Nordex soared 10% after Bank of America upgraded the stock’s rating to “buy” and raised its target price to Euro 54 from Euro 50.
Hannover RE shed 2.7%. Clemens Jungsthofel, CEO of Hannover RE, said that growing uncertainties combined with intensifying competition are causing increasing headwinds for the reinsurance industry.
Qiagen, Munich RE, Vonovia, SAP, Beiersdorf, Rheinmetall and Adidas also ended notably lower
