European Markets Close Higher As Lebanon Ceasefire News Aid Sentiment

(RTTNews) - Despite lingering concerns about U.S.-Iran tensions, European markets closed higher on Thursday as oil prices fell on news about Lebanon and Israel agreeing to implement a ceasefire aided sentiment, prompting investors to pick up stocks.

While news about Lebanon and Israel agreeing to implement ceasefire is likely to aid sentiment, concerns about the ongoing tensions in the Middle East due to strikes by U.S. and Iranian forces weighed a bit.

The pan European Stoxx 600 climbed 0.52%. The U.K.'s FTSE 100 gained 0.27%, while Germany's DAX and France's CAC 40 moved up 0.6% and 1.15%, respectively. Switzerland's SMI closed 0.93% up.

Among other markets in Europe, Austria, Belgium, Czech Republic, Denmark, Iceland, Ireland, Netherlands, Poland and Spain ended higher.

Finland, Greece, Norway, Portugal, Russia and Türkiye closed weak, while Sweden ended flat.

In the UK market, Relx surged more than 6%. LSEG gained 5.3% and JD Sports Fashion moved up 4.7%. Experian, The Sage Group, AutoTrader Group and Entain climbed 3.2%-4%.

Pearson, 3i Group, Convatec Group, GSK, Haleon, AstraZeneca, ICG, Berkeley Group Holdings, SSE, Weir Group, Smith & Nephew, Informa and St.James's Place also closed with strong gains.

Prudential ended weak by 7.6%. Sainsbury (J), Standard Chartered, Rio Tinto, Polar Capital Technology Trust, British American Tobacco, Vodafone Group, Antofagasta, HSBC Holdings, Scottish Mortgage, Games Workshop, Shell, Unilever, LondonMetricProperty and Anglo American Plc lost 1%-3%.

In the German market, SAP climbed 5.5%. Qiagen moved up 5.4%, while Fresenius Medical Care, Merck, Scout24, Siemens Healthineers, Deutsche Bank, Bayer and MTU Aero Engines gained 2.3%-5%.

Fresenius, Deutsche Boerse, Zalando, Vonovia and Heidelberg Materials also ended notably higher.

Infineon drifted down 3.3%. Continental, RWE, Mercedes-Benz, BMW, Porsche Automobil Holding, Daimler Truck Holding and Siemens lost 1%-2.5%.

In the French market, Capgemini rallied more than 6.5%. Dassault Systemes, Eurofins Scientific, Publicis Groupe, Airbus, Sanofi and EssilorLuxottica gained 3.7%-6%.

LVMH, Bureau Veritas, Teleperformance, Thales, Safran, Kering, Societe Generale, ArcelorMittal, Hermes International, AXA, Air Liquide and Stellantis also posted strong gains.

STMicroelectronics ended down by about 3.3%. Veolia Environment, Orange, Danone and Saint-Gobain also closed weak.

In economic news, data from S&P Global showed S&P Global Eurozone Construction PMI rose to 43.7 in May 2026 from 41.7 in April, when the sector recorded its sharpest contraction since August 2024.

The S&P Global France Construction PMI rose to 39.6 in May 2026 from 38.1 in April, signaling a slight improvement in operating conditions.

Data from Eurostat showed Eurozone retail sales declined more than expected in April, falling by 0.4%, reflecting decreases in non-food and auto fuel sales. Retail sales rose 0.8% in March, and were expected to drop 0.3% in April.

On a yearly basis, retail sales growth eased to 1% from 2.1% in March.

Retail sales in the EU27 dropped 0.5% in April from the previous month but increased 0.9% from the last year.

Data from S&P Global showed the S&P Global UK Construction PMI fell to 38.2 in May 2026 from 39.7 in April. The reading was expected to come in at 40.2. May's reading marks the sharpest contraction in construction activity since May 2020.

Data from the Society of Motor Manufacturers and Traders Limited (SMMT) showed new car sales in UK climbed 7.1% year-over-year to 160,662 units in May, the strongest May performance since 2019.

Data from S&P Global showed Germany's construction activity continued to contract sharply in May with firms recording a sustained fall in activity alongside soaring input costs. The construction Purchasing Managers' Index posted 42.4 in May, up from April's 13-month low of 42.1.