Europe Stocks End Tuesday Up

(MENAFN) European equities closed in positive territory on Tuesday, lifted by growing investor hopes of a potential ceasefire in the Middle East — though the gains were not enough to offset a bruising month that left regional markets with their steepest losses in nearly three years.

The Stoxx Europe 600 benchmark index advanced 0.41%, settling at 583.14 points by the close of trade.

Across major exchanges, London’s FTSE 100 gained 0.48% to 10,176.45, Germany’s DAX 40 rose 0.52% to 22,680.04, France’s CAC 40 added 0.57% to 7,816.94, and Italy’s FTSE MIB 30 led regional gains with a 1.11% climb to 44,309.71.

The euro firmed against the dollar, with the EUR/USD pair rising 0.76% to 1.1549 as of 1730 GMT.

Tuesday’s upswing was largely driven by emerging reports that U.S. President Donald Trump may be open to halting strikes on Iran, injecting fresh optimism into markets over the prospect of a broader regional de-escalation.

Yet the day’s recovery could not erase a deeply damaging month. The Stoxx Europe 600 closed March with an 8% decline — its worst monthly performance since mid-2022 — as prolonged Middle East tensions weighed heavily on investor confidence throughout the period.

Adding to economic headwinds, annual inflation across the eurozone accelerated to 2.5% in March, its highest reading since May 2022, driven upward by a sharp rise in energy costs tied directly to the regional conflict.

In response to mounting pressure on energy supplies, the European Commission called on member states to promote reduced car usage and fewer air travel trips among their citizens, citing the strain that Middle East developments have placed on energy availability across the bloc.

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