European stocks extended their gains on Wednesday, with the STOXX 50 surging 1.6% and the STOXX 600 climbing 1.2%, staging a partial rebound after losses of nearly 6% and 5%, respectively, over the previous two sessions that had pushed both indexes to their lowest levels in roughly two months. Investors took a pause after a report from the New York Times indicated that Iranian operatives had offered to discuss terms for ending the conflict, while oil and gas prices eased. All sectors were in the green, with tech, industrials and financials leading the advance. ASML Holding climbed 3.2%, L’Oréal added 1.8%, and SAP rose 1.3%. Meanwhile, Spanish equities rebounded from early losses, with the Ibex 35 adding almost 1.8% as traders shrug off US President Trump’s threat to halt trade with Spain following Madrid’s decision to bar the US from using its military bases for operations related to Iran. On the down side, Adidas tumbled about 7% after reporting disappointing results.
