European stocks seen higher as global markets rally on easing US-Iran tensions

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Global market sentiment has improved in the latter half of the week amid a de-escalation in U.S.-Iran tensions.

Thursday claiming a Ukraine-bound flight that crashed shortly after take-off from Tehran had been shot down by an Iranian missile. Government officials say it could have been downed by mistake. Iran's aviation regulator dismissed the claims as "illogical rumors," and Tehran maintains the aircraft crashed due to a technical problem.

Still, stocks worldwide have been boosted by the easing tensions, as well as optimism over U.S.-China trade relations. MSCI's broadest index of international share markets rose 0.6%, hitting an all-time high. Chinese Vice Premier Liu He is due to sign an initial "phase one" trade deal with the U.S. next week. Liu will visit Washington on Jan. 13-15, Beijing said on Thursday.

Back in Europe, U.K. lawmakers approved legislation that will allow the country to exit the EU on Jan. 31 with a withdrawal deal. Meanwhile in France, the government has stood its ground on proposed pension reforms despite protests from tens of thousands of demonstrators across the country.is due to announce vehicle delivery numbers, while Jaguar Land Rover releases global sales figures for 2019. As for economic data, French manufacturing figures for November are due later this morning.

 

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