London:European stock markets experienced a positive close on Monday, buoyed by a recovery in technology shares and a significant drop in oil prices, which helped improve investor sentiment after last week's downturn.

According to Anadolu Agency, the pan-European STOXX Europe 600 index rose by 1.26%, or 8.19 points, closing at 656.52. Italy's FTSE MIB led the major regional markets with a 2.69% increase to 51,399.88, while Spain's IBEX 35 saw a rise of 1.93% to 19,742.50.

Germany's DAX index advanced by 1.73% to end at 26,267.19. Meanwhile, France's CAC 40 added 1.16% to reach 8,233.30, and Britain's FTSE 100 increased by 1.02% to 10,782.87. The recovery in technology shares was particularly notable, with semiconductor companies like ASML, ASM International, and Soitec gaining 4.7%, 3.4%, and 5.9%, respectively, during the session.

The rebound in tech shares was driven by a reassessment of artificial intelligence investments, following concerns about heavy capital spending and potential regulatory changes after the US midterm elections. Last week, Germany's DAX had fallen by 1.92%, and both British and French benchmarks had also declined.

In addition to the tech recovery, oil prices witnessed a significant drop on Monday. Brent crude futures fell by 4.88% to trade at $93.52 a barrel, while the US benchmark West Texas Intermediate dropped by 3.63% to $87.53. These figures were indicative of intraday trading rather than final settlement prices.

The decrease in crude oil prices came amid rising optimism for progress in resolving the conflict in Iran, which eased some concerns about potential energy supply disruptions near the Strait of Hormuz. Investors are also anticipating upcoming US inflation figures and eurozone growth data for further insights into interest rates and the broader economic outlook.