European shares neared an all-time high, boosted by strong auto and chemical stocks, despite ongoing Middle East tensions. Investors are cautiously optimistic about a resolution, while persistent energy price shocks keep inflation worries and potential ECB rate hikes in focus. Naturgy and clean energy stocks lagged.

Pan-European Stoxx 600 was trading just shy of a record high touched in late February, just before the Middle East war erupted

European shares neared an all-time high, boosted by strong auto and chemical stocks, despite ongoing Middle East tensions. Investors are cautiously optimistic about a resolution,…