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Persian Gulf Uncertainty Damps European Bourses Midday

-- European bourses tracked moderately lower midday Thursday as traders weighed Persian Gulf hostilities, rising oil prices, and an uncertain Strait of Hormuz opening.

Oil stocks led gains on continental trading floors, while bank and tech shares lagged.

Investors also eyed Wall Street futures in the red, and lower closes overnight on Asian exchanges.

In other news, the US and Iranians are set for direct negotiations in Pakistan over the weekend, reported Turkey's Anadolu Agency, citing officials in Islamabad.

The pan-continental Stoxx Europe 600 Index was off 0.7% mid-session.

The Stoxx Europe 600 Technology Index was down 1.7%, and the Stoxx 600 Banks Index lost 0.6%.

The Stoxx Europe 600 Oil and Gas Index rose 1.2%, while the Stoxx 600 Europe Food and Beverage Index declined 0.8%.

The REITE, a European REIT index, fell 0.7%.

On the national market indexes, Germany's DAX was down 1.3%, and the FTSE 100 in London lost 0.4%. The CAC 40 in Paris was down 0.9%, and Spain's IBEX 35 eased 0.8%.

Yields on benchmark 10-year German bonds were higher, near 2.98%.

Front-month North Sea Brent crude-oil futures were up 4.1% at $98.63 a barrel.

The Euro Stoxx 50 volatility index was up 1.2% at 25.01, indicating above-average volatility for European stock markets in the next 30 days, a negative signal. A reading above 20 indicates choppier markets ahead, while below 20 suggests calmer exchanges.

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