June 5 (Reuters) – European shares opened flat on Monday as markets failed to catch the tailwind from a bounce seen last week, while London stocks led regional gains following upbeat performances by energy firms on the back of higher oil prices.
The pan-European STOXX 600 index (.STOXX) held its ground at 462.46 points, while London’s FTSE 100 (.FTSE) index led gains with a 0.5% climb.
The European oil & gas sector index (.SXEP) rose 1%, buttressed by stronger oil prices after top global exporter Saudi Arabia pledged to cut production by another 1 million barrels per day from July.
Markets struggled to carry forward the optimism from gains posted on Friday after euro zone inflation eased, the U.S. averted a debt default, and as growing evidence fuelled bets that the U.S. Federal Reserve might pause interest rate hikes this month.
Shares of Indivior Plc (INDV.L) surged 11% to top the STOXX 600 Index after the drugmaker agreed to pay $102.5 million to settle a lawsuit for its opioid addiction treatment Suboxone.
Reporting by Shreyashi Sanyal in Bengaluru; Editing by Sherry Jacob-Phillips
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Read More: European shares open flat; London leads on oil boost