European shares edge higher ahead of ECB rate decision
The STOXX 600 rose 0.3% on Tuesday as markets focused on the Middle East conflict and the upcoming ECB meeting. Energy and utility stocks led the gains today.
European equity markets recorded marginal gains on Tuesday as investors weighed the economic consequences of escalating Middle East tensions against the European Central Bank's upcoming policy meeting. The pan-European STOXX 600 index edged up 0.3% to 600.32 points, while major indices in London and Paris each rose by 0.5%. However, the market in Germany remained flat after data showed a significant decline in investor morale for March.
The energy sector remained a primary focus for investors as Iran launched new attacks on the United Arab Emirates. This geopolitical instability, combined with the continued closure of the Strait of Hormuz, kept crude prices above $100 per barrel. Consequently, Shell plc saw its shares rise by 1%. The utility sector, often treated as a bond proxy, also performed well with a 1.6% increase.
