Europe close: Stocks mixed as oil prices slip back

15th Jul 2026 16:17

(Sharecast News) - European shares were mixed at the close on Wednesday as the US launched a fourth consecutive day of strikes against Iran and president Donald Trump threatened to escalate the campaign if Tehran did not agree to a peace deal.

The pan-European Stoxx 600 edged up 0.12% to 642.84.

Germany's DAX fell 0.51% to 25,018.81, France's CAC 40 rose 0.19% to 8,382.43, and London's FTSE 100 slipped 0.13% to 10,515.92.

Brent crude futures were last down 0.9% on ICE at $83.97 per barrel, while the NYMEX quote for West Texas Intermediate declined 0.83% to $78.68.

Danni Hewson, head of financial analysis at AJ Bell, said positive signs on US inflation continued to support sentiment despite the latest escalation in the Middle East.

"US stocks were modestly higher, while the FTSE 100 regained some poise having taken a hit from China's weak growth figures announced overnight," she said.

Sentiment was also hit by an unexpected slowdown in China, after official data showed second-quarter GDP growth weakening to its lowest level in more than three years.

Gross domestic product expanded 4.3%, down from 5.0% in the previous quarter, as weak domestic demand and disruption to oil supplies from the Iran war outweighed stronger production and exports.

For the first half of the year, China's economy grew 4.7%, within Beijing's 4.5% to 5.0% annual target range.

The data weighed on mining shares as investors grew concerned about weaker demand from China.

Hewson said the UK market had significant exposure to China through its mining contingent, which relies heavily on the country for demand, and through Asia-focused financial institutions such as HSBC and Prudential.

Chris Beauchamp, chief market analyst at IG, said technology worries were continuing to weigh on markets, with another day of AI concerns hitting sentiment.

"Another day of AI worries has hit markets, as Dell becomes the latest to suffer a super-sized loss," he said.

"While the Dow continues its recovery off yesterday's lows, supported by recent bank earnings and weaker US inflation, the Nasdaq continues to struggle, as does its companion the Nikkei 225."

Beauchamp said both the Nasdaq and Nikkei had ridden the wave of AI enthusiasm, but that trade was now being buffeted by uncertainty and at risk of further declines.

"This is still more like rotation between sectors but it certainly doesn't bode well for the summer," he said.

Tensions in the Gulf remained elevated after Trump threatened to expand US strikes next week to target Iranian power plants and bridges if Tehran refused to negotiate.

Tehran, meanwhile, declared the Strait of Hormuz closed.

"Next week it gets really bad for them because next week comes the power plants. Next week comes the bridges," Trump said in a Fox News interview on Tuesday.

"We're going to knock out all their power plants. We're going to knock out all their bridges unless they get to the table and negotiate."

Beauchamp said oil's recent surge had calmed, although the outlook remained uncertain.

"The oil surge has calmed again today, but there is little likelihood of any return to real peace talks in the Middle East," he said.

"The Straits of Hormuz remain closed, and energy stockpiles are still too low for comfort."

ASML gives up gains, Richemont jumps higher

In equity markets, ASML Holding gave up earlier gains to close 0.41% lower, even after the world's largest supplier of chipmaking equipment lifted its 2026 forecasts and said it would expand capacity after reporting better-than-expected second-quarter earnings.

Axfood slumped 14.89% after the Swedish food retailer's second-quarter sales missed estimates.

Richemont surged 6.68% after the luxury group reported better-than-expected first-quarter sales, helped by strong demand for its jewellery in Asia and the Americas.

Reporting by Josh White for Sharecast.com.