Stock exchanges in Paris and Madrid reached record highs on hopes of an agreement between Iran and the United States to open the Strait of Hormuz. The Paris Stock Exchange improved its previous record as the CAC 40 index closed up 0.03% at 8,669.30 points, while the Madrid Stock Exchange set a record high at 20,057 points after rising 0.17%.
Other European markets fell despite oil prices stabilizing around 79 dollars a barrel. The Frankfurt Stock Exchange dropped 0.29%, driven mainly by a 5.71% decline in semiconductor company Infineon, while Milan fell 0.18% and the London Stock Exchange rose 0.08%.
CMC Markets analyst Andreas Lipkow said discussions between Iran and the United States remain fragile and no short-term agreement is expected. He added that Houthi rebels in Yemen are hardening their stance in the Red Sea and threatening new disruptions to oil transport.
Wall Street performance and oil prices
In New York, the Dow Jones industrial average improved its previous record at the open by rising 0.82% around 7:30 p.m. Greek time. The S&P 500 remained nearly flat with a 0.02% gain, while the tech-heavy Nasdaq index fell 0.36%.
Iran announced earlier that it agreed with the sultanate of Oman on a new maritime route through the Strait of Hormuz, which carried 20% of global production before the war. Oil prices stabilized after a large drop the previous day, with North Sea Brent rising 0.13% to 79.46 dollars a barrel and US WTI crude falling 0.37% to 75.49 dollars a barrel.
