Traders work on the floor of the New York Stock Exchange during morning trading on April 13, 2026 in New York City.
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LONDON — European stocks finished Tuesday’s session higher amid hopes that U.S.-Iran peace talks could resume despite a blockade on Iranian ports coming into effect.
The pan-European Stoxx 600 index closed up almost 1%, with all major bourses ending the day in positive territory.
The U.S. military began its blockade of Iranian ports on Monday, in a development that threatens to further constrict global oil supply in the coming months.
But oil prices declined amid signs that peace talks could continue despite the blockade, with Brent crude falling 4.2% to $95.15 per barrel, and U.S. West Texas Intermediate prices 6.7% lower at $92.45.
U.S. Vice President JD Vance said Monday that U.S.-Iran peace efforts now depend on Tehran, after returning from weekend talks that failed to produce a breakthrough.
News agency Reuters reported on Tuesday morning that talks could resume in Islamabad as soon as this week, according to sources.
President Donald Trump also said Monday that the U.S. had “been called by the other side,” adding, “they’d like to make a deal very badly.” Separately, Trump was asked if the goal of the blockade was to force Iran to reopen the Strait of Hormuz or come to the negotiating table. The president said, “Both of those things, certainly, and more.”
China, meanwhile, described the U.S. blockade as “dangerous and irresponsible.” A Ministry of Foreign Affairs spokesman said the move, coupled with an increase in U.S. military deployment, risks undermining an “already fragile ceasefire situation.”
In corporate news, Novo Nordisk announced it is partnering with OpenAI to “bring new and better treatment options to patients faster.”
The partnership will enable AI-based analysis of complex datasets, the identification of promising new drugs, and reduce the time it takes for a medicine to move from the research stage to patient use, the company said in a statement. Novo shares finished the day up 2.3%.
Meanwhile, shares in luxury retailer LVMH ended the session little changed but above the day’s lows following a disappointing quarterly earnings report that missed expectations on Monday.
European investors also monitored earnings updates from Kering, Givaudan, Sika and Publicis Groupe. Data releases included Spanish inflation.
Asia-Pacific markets traded higher overnight, while in the U.S., the S&P 500 was last seen 1% higher, with the Dow Jones Industrial Average and Nasdaq advancing 0.7% and 1.6%, respectively.
— CNBC’s Elsa Ohlen also contributed to this report.
