Markets Rebound on Earnings Optimism Amid Proposed Iran Deal
Global markets rebounded on Thursday as investors regained optimism about corporate earnings and interpreted a proposed deal between Iran and Oman as progress towards ending the US-Iran conflict.
The stock market faltered overnight, with the pan-European STOXX 600 down 0.4% at 0912 GMT, while London's FTSE 100 was up 0.3%, France's CAC 40 was up 0.8%, and Germany's DAX was up 0.1%.
Hani Redha, a multi-asset portfolio manager at MetLife, said the overnight losses were 'a natural correction' to a rally that was set to continue. He added that strong earnings and renewed enthusiasm for AI-related tech stocks have pushed Wall Street to record highs in recent sessions.
The proposed deal between Iran and Oman could give Tehran control over ships entering the Gulf through the Strait of Hormuz, but US officials did not comment on the proposal.
Oil prices fell below $80 a barrel after the Reuters report, with Brent crude futures up 0.3% at $79.70 a barrel while U.S. West Texas Intermediate futures were up 0.2% at $75.37.