In the European session, the German Benchmark Index traded above 17,900 levels.
On Friday, European stocks witnessed a notable decline amid escalating tensions in the Middle East following Israel's retaliatory strikes against Iran. Additionally, hawkish remarks from Federal Reserve officials prompted investors to revise down their expectations for interest rate cuts by the Federal Reserve this year. Many market participants now anticipate the U.S. central bank to delay any rate cuts until September.
In economic news, Germany's producer prices continued their downward trend in March, albeit at the slowest rate in nine months. Producer prices showed an annual decline of 2.9 percent, a moderation from the 4.1 percent drop observed in January. This marks the continuation of price declines since July 2023.
The pan-European STOXX 600 index fell by 0.7 percent to 496.10, following a 0.2 percent gain on Thursday. The German DAX dropped by 0.9 percent, France's CAC 40 shed 0.8 percent, and the U.K.'s FTSE 100 was down by 0.7 percent.
