European Markets Rise as Middle East Tensions Ease

European stock markets trended higher on Monday as crude oil prices retreated. The market relief followed diplomatic efforts by Qatari mediators, who visited Tehran on Sunday to coordinate with Washington to defuse regional hostility. This movement comes after Brent futures surged 6.2% last week in response to Houthi drone and missile strikes targeting energy and transport infrastructure in Saudi Arabia.

While Germany's DAX and France's CAC 40 rose, London's FTSE 100 saw a slight decline. Investors remain cautious as they await policy meetings from the Federal Reserve, the European Central Bank, and the Bank of Japan, alongside earnings reports from U.S. tech giants Alphabet, Microsoft, and Amazon.

In France, assets experienced relief after Moody's Ratings refrained from downgrading the country's sovereign debt rating. The decision comes despite ongoing domestic unrest and political gridlock surrounding a budget proposed by President Emmanuel Macron.