European software stocks extended their recovery as the Nasdaq hit a record in its 12th consecutive winning session, while U.S. Treasury yields and the dollar stabilized. Investors remained cautious about Middle East tensions ahead of the weekend pause in trade. Market sentiment showed resilience despite ongoing geopolitical uncertainty.

Brent crude oil prices held below $100 per barrel, reflecting optimism about potential U.S.-Iran peace talks resuming. President Trump expressed confidence that conflict with Iran would soon end, citing Tehran's agreement to hand over highly enriched uranium. However, energy supply disruptions continue as ships sanctioned by the U.S. face boarding, search and seizure under the American blockade of Iranian ports.

The Strait of Hormuz remains effectively closed, creating persistent market volatility. While software sector gains provided some stability, investors are carefully weighing options amid mixed signals. The combination of diplomatic progress and continued supply constraints suggests markets will remain sensitive to developments in the region over the coming days.