European stock market closes up 1.42% amid hopes for de-escalation of Iran tensions

The United States is seeking to ease the conflict with Iran. On Wednesday, US and European stock markets rebounded. European markets remained high throughout the day, with the pan-European Stoxx 600 index closing up 1.42% at 587 points, with major market indices all gaining over 1%.

The UK FTSE 100 index closed at 10,106 points, up 1.42% or 141 points; Germany’s DAX index finished at 22,957 points, rising 1.41% or 320 points; France’s CAC 40 index closed at 7,846 points, gaining 1.33% or 102 points; Italy’s FTSE MIB index ended at 44,013 points, up 1.48% or 643 points; Spain’s IBEX 35 index closed at 17,169 points, up 1.54% or 259 points.

According to the latest data from the UK Office for National Statistics, UK inflation remained steady at 3% in February, the last inflation data before the outbreak of the Iran war. The core inflation rate, excluding energy, food, alcohol, and tobacco prices, was 3.2%, higher than January’s 3.1%, meeting economists’ expectations.

US President Trump hinted that negotiations to end hostilities between the US and Iran are still ongoing. The New York Times quoted two Washington officials as saying that the US has submitted a 15-point plan aimed at ending the war, boosting global markets.

However, Tehran continues to deny any direct negotiations are taking place. Iran’s permanent UN delegation posted on social media that non-hostile vessels, including those belonging to other countries or associated with Iran, can obtain safe passage through the Strait of Hormuz by coordinating with Tehran.