Ramla SoniEuropean shares recovered after their worst week in two months, as hopes for economic recovery rose with many countries easing coronavirus-led lockdowns.
Energy companies Total SA, BP Plc and Royal Dutch Shell Plc rose nearly 6 per cent, leading market gains as oil prices rose, amid signs of gradual demand recovery.
Brent crude futures climbed $1.08 to $33.58 a barrel, while US crude rose $1.27 to $30.70.
France’s Total was also boosted by news that it called off plans to acquire Occidental Petroleum Corp’s assets in Ghana, and agreed to buy up assets from Energías de Portugal.
The pan-European STOXX 600 rose 2 per cent, with exchanges in Frankfurt, Paris and London also rising more than 2 per cent.
Governments and central banks globally have unleashed unprecedented stimulus to help improve the economy, helping the STOXX 600 recover nearly 25 per cent from its March lows.
French automakers Renault SA and Peugeot SA gained 3.2 per cent and 2.8 per cent, respectively, after hope was given by finance minister Bruno Le Maire that the government was to announce a plan within 15 days to help the country’s automobile sector.
Fiat Chrysler Automobiles NV jumped 4.1 per cent after confirming its Italian unit was working with Rome to obtain state guarantees on a €6.3bn ($6.8bn, £5.5bn) loan facility.
In Asia, data in Japan confirmed the world’s third largest economy went into recession in the first quarter, putting it on course for its worst postwar slump as the coronavirus hits heavily.
Still, Tokyo's Nikkei rose 0.6 per cent as signs of a slowdown in coronavirus infections raised optimism that Japan would soon ease restrictions.
Chinese blue chips were also up 0.6 per cent.
