Aug 6 (Reuters) - European shares rose to a record high on Thursday as investors assessed prospects of a U.S.-Iran peace deal and progress toward reopening the Strait of Hormuz, while also digesting a slew of corporate earnings reports.
The pan-European STOXX 600 index was up 0.4% at 660, as of 0718 GMT. The benchmark index closed at an all-time high in the previous two sessions.
A senior Iranian source and two regional officials told Reuters that a proposed deal between Iran and Oman to help end five
months of war would give Tehran control over ships entering the Gulf through the Strait of Hormuz, one of the biggest concessions yet to Iran.
Corporate results remained the primary focus. Analysts have steadily upgraded profit forecasts during the reporting season, with second-quarter STOXX 600 earnings now expected to rise nearly 21%, according to LSEG-compiled data, compared with growth expectations of around 12.5% in early May.
Shares of Deutsche Telekom rose 5.5% after the German telecom operator expanded its 2026 share buyback programme by €3 billion ($3.5 billion) to up to €5 billion. The regional telecom sector gained 1.6%.
Food and beverages sector edged 1% higher, with Glanbia up 8.4% after the Irish nutrition solutions provider's half-year revenue grew 7% year-on-year.
Investors shrugged off a pullback in global technology stocks following a recent AI-driven rally. The STOXX 600 technology sector was up 0.1%.
Later in the session, investors will watch euro zone retail sales data for further clues on the strength of consumer spending.
(Reporting by Tharuniyaa Lakshmi in Benglauru; Editing by Sherry Jacob-Phillips)
