European stocks are expected to open higher on Friday following U.S. President Donald Trump's decision to extend the pause on attacks targeting Iran's energy infrastructure by 10 days, now lasting until April 6, to allow more time for ongoing negotiations [1]. According to IG data, the FTSE 100 is projected to open 0.3% higher, France's CAC 40 is slated for a 0.15% rise, and Germany's DAX is seen opening 0.4% higher [1]. This marks a reversal from the previous session, when European markets closed lower amid investor uncertainty regarding Middle East peace talks [1].
President Trump announced the extension in a Truth Social post, stating, "As per Iranian Government request, please let this statement serve to represent that I am pausing the period of Energy Plant destruction. Talks are ongoing and, despite erroneous statements to the contrary by the Fake News Media, and others, they are going very well" [1]. Trump also claimed that Iran allowed 10 oil tankers to pass through the strait as a "present" to the U.S., though Tehran has not publicly commented on this gesture [1].
While European markets are poised for gains, Asian markets fell overnight, and U.S. stock futures rose slightly, reflecting mixed global reactions to the news [1]. In corporate developments, Pernod Ricard and Brown-Forman, owner of Jack Daniels, have confirmed merger discussions amid a prolonged downturn in the alcohol industry, potentially combining the world's second-largest spirits maker with the largest producer of American whiskey [1].
Elsewhere, the G7 foreign ministers meeting in France continues, with the wars in Iran and Ukraine as top agenda items. South Africa, initially invited as an observing nation, reported that France withdrew its invitation after the U.S. threatened to boycott the event [1].
CONCLUSION
President Trump's extension of the Iran strike hiatus has provided a positive catalyst for European markets, with major indices expected to open higher. The move signals ongoing diplomatic efforts and has eased investor concerns, at least temporarily. However, global market reactions remain mixed, and geopolitical developments continue to influence sentiment.