European shares edge higher as Mideast peace talks keep investor hopes alive

European shares edged higher on Tuesday, after posting losses in the previous session, as investors found optimism in reports that Middle East peace negotiations remain active while the Iran-US ceasefire deadline approaches.

The pan-European STOXX 600 index was up 0.1% to 621.99 points as of 0713 GMT.

Major regional bourses also inched up, with Germany’s DAX and London’s FTSE 100 adding 0.6% and 0.1%, respectively.

Diplomatic channels appeared to remain open as US officials expressed optimism that peace talks would proceed in Pakistan.

A senior Iranian official indicated Tehran was considering participation, though significant obstacles and uncertainty persist with the ceasefire expiration drawing near.

Stocks bounced back from Monday’s losses, while oil prices fell in early trading, reflecting investor hopes that US-Iran negotiations would resume this week, after earlier meetings in Islamabad broke down without an agreement. Among sectors, technology was leading the board, up 1%.

At the bottom of the benchmark was the healthcare index, down 0.6%.

Among other movers, Royal Unibrew’s shares plunged 13%, on track for worst day since October 2022, after the Danish beverage company said its partnership with Pepsi traders in northern Europe was to end.