Europe open: Stoxx up, oil down again on hopes of US-Iran talks

(Sharecast News) - European shares opened higher on Wednesday as oil prices fell again on hopes of talks between the US and Iran that could see the blockaded Strait of Hormuz re-open.

The pan-regional Stoxx 600 index was up 0.26% to 644 at 0715 GMT with all major bourses higher.

Brent crude was down 0.49% to $98 a barrel - still a long way from the $72 level before the US and Israel started their war of choice on Iran and Lebanon at the end of February.

Iran has reportedly been in negotiations with the US through a Qatari mediator in New York. Its conditions include a halt to what it calls US "acts of aggression," an end to the naval blockade and economic warfare, and the release of Iranian assets, Iranian foreign ministry spokesman Esmaeil Baghaei said.

Iranian President Masoud Pezeshkian is scheduled to address the UN General Assembly later today amid speculation that he might hold talks with US President Donald Trump.

The American leader on Tuesday told world leaders talks were making progress, but in the same speech also threatened to "annihilate" Iran.

Sentiment was also boosted by reports that Saudi Arabia had made better-than-expected progress in repairing its east-west pipeline to the Red Sea damaged by Iran-backed Houthi rebels last week.

In equity news, shares in Arcadis slumped after Canada's WSP Global dropped its $5bn takeover bid for the Dutch engineering consultancy.

Reporting by Frank Prenesti for Sharecast.com