European shares rise on energy boost, rate-cut hopes

European shares climbed on Monday, with investor optimism over interest rate cuts globally back to the fore, while Spanish defence and technology firm Indra jumped following a strong first-quarter profit. The pan-European STOXX 600 was up 0.2%, as of 0720 GMT, with energy leading sectoral gains as oil prices rose after Saudi Arabia hiked June crude prices for most regions and as prospects of a Gaza ceasefire deal appeared slim.

European shares climbed on Monday, with investor optimism over interest rate cuts globally back to the fore, while Spanish defence and technology firm Indra jumped following a strong first-quarter profit.

The pan-European STOXX 600 was up 0.2%, as of 0720 GMT, with energy leading sectoral gains as oil prices rose after Saudi Arabia hiked June crude prices for most regions and as prospects of a Gaza ceasefire deal appeared slim. UK equities were closed for trading due to a bank holiday.

Shares of Indra jumped 8.5% after the company posted a 40% rise in first-quarter net profit, supported by strong orders as global tensions spur demand for air defences. Debt-laden French IT company Atos advanced 4% after announcing four distinct investor offers for debt restructuring and cash infusion.

Dutch postal firm PostNL dropped 3.5% after a wider-than-expected first-quarter loss. Germany's logistics giant Deutsche Post AG shed nearly 4%. A media report showed European Central Bank Chief Economist Philip Lane noted a stronger case for June rate cut on easing services inflation, while Friday's softer-than-expected U.S. jobs report renewed bets that the Federal Reserve would most likely ease rates this year.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)