European markets showed minimal movement on Wednesday, with investors tracking the developments in negotiations between the U.S. and Iran. This came amid a notable slide in shares of defense giant Rheinmetall after reports emerged about Germany’s decision to abandon plans for constructing its largest warship since World War II.
As the STOXX 600 index marginally decreased by 0.02% to 634.50 points, oil prices hovered around $76 a barrel. This reflects hopes that stranded oil tankers could soon navigate the Strait of Hormuz after a tentative U.S.-Iran peace agreement.
The aerospace & defense sector was hit particularly hard, with Rheinmetall’s shares plummeting 12.3%. Meanwhile, the real estate sector enjoyed a boost, witnessing a 2.4% increase driven by Segro’s gains following Prologis’s public bid. The tech sector began to recover, rebounding after previous significant losses.
(With inputs from agencies.)