European Shares Hold Steady Amid Hormuz Uncertainty

European shares held steady on Monday as uncertainty surrounding the Strait of Hormuz kept oil prices elevated. The pan-European STOXX 600 index was broadly flat at 660.12 points, after gaining 1.7% last week and closing at a record high on Friday.

The rally was supported by expectations that weaker U.S. labor-market data could strengthen the case for lower borrowing costs, while solid corporate earnings in Europe and the United States also helped underpin investor sentiment.

However, trading began cautiously as geopolitical developments remained a key focus for markets. Iran said it was nearing a final agreement with Oman on new shipping lanes through the Strait of Hormuz, but indicated that additional conditions involving the United States would need to be addressed before the waterway could fully reopen.