European shares were mostly higher on Friday, and oil prices slipped as investor sentiment was fuelled by expectations of a deal between the US and Iran to extend the ceasefire in the war by 60 days.
On Thursday, negotiators from the US and Iran reached a tentative agreement to extend their ceasefire and hold a new round of talks on Iran's nuclear programme, a US official said.
Iran has not publicly confirmed the deal, and the tentative agreement was still awaiting sign-off from US President Donald Trump.
Oil prices hit a one-month low on optimism over a de-escalation of the conflict, but remained above pre-war levels as the Strait of Hormuz largely stayed closed. Brent crude was trading at around $70 a barrel in late February before the war began.
Investors are also closely watching for a reopening of the Strait of Hormuz. The US official said the tentative accord makes clear that Iran would not be able to impose tolls on ships transiting the strait, while the US would gradually lift its sea blockade on Iranian ports.
