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European stocks near new highs after oil decline
European stocks rose significantly, nearing their record levels, thanks to a more than 4% decline in global oil prices following US officials announcing direct talks with Iran and the cancellation of a potential military strike. This boosted investor confidence and supported shares in the energy, industrial, and travel sectors. Despite geopolitical tensions, strong corporate performance and steady economic data indicated that investors' risk appetite remains intact, while inflation and the European Central Bank's interest rate hike prospects in the fall continue to be closely monitored.
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