Central Bank, Geopolitical Views Steady European Bourses Midday

BY MT Newswires | ECONOMIC | 09/12/25 07:51 AM EDT

07:51 AM EDT, 09/12/2025 (MT Newswires) -- European bourses tracked sideways midday Friday as traders weighed global easing central-bank postures against geopolitical tensions in the Middle East and Eastern Europe.

Property and tech stocks led muted gains, while oil issues lagged.

Investors also eyed subdued Wall Street futures, but higher closes overnight on Asian exchanges, including all-time record zeniths set on equity indices in Japan and South Korea.

In other news, European Union High Representative for Foreign Affairs and Security Policy Kaja Kallas said in a post on social media platform X that the EU extended its sanctions against Russia. The EU is "looking into additional curbs on Russian oil sales, shadow oil tankers, and banks. We'll keep choking off the cash for Putin's war," she posted.

The pan-continental Stoxx Europe 600 Index was steady mid-session on the continent.

The Stoxx Europe 600 Technology Index was up 0.3%, but the Stoxx 600 Banks Index lost 0.2%.

The Stoxx Europe 600 Oil and Gas Index was off 0.5%, and the Stoxx 600 Europe Food and Beverage Index fell 0.1%.

The REITE, a European REIT index, rose 0.4%, while the Stoxx Europe 600 Retail Index was down 0.7%.

On the national market indexes, Germany's DAX was down 0.2%, and the FTSE 100 in London rose 0.4%. The CAC 40 in Paris was off 0.4%, and Spain's IBEX 35 lost 0.6%.

Yields on benchmark 10-year German bonds were higher, near 2.69%.

Front-month North Sea Brent crude-oil futures were up 1.4% at $67.28 a barrel.

The Euro Stoxx 50 volatility index was down 1.5% to 15.82, indicating below-average volatility for European stock markets in the next 30 days, a positive signal. A reading above 20 indicates choppier markets ahead, while below 20 suggests calmer exchanges.

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In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

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