European Shares Supported by Strong Performance in Commodity Stocks

European shares edged higher early on Monday but remained within a narrow range, as gains in commodity-related stocks were tempered by uncertainty over future interest rate policies.

The STOXX 600 index, encompassing European stocks, increased by 0.1% as of 0716 GMT, staying just below recent record highs reached last week.

Sector-wise, miners and oil & gas stocks rose by 0.8% and 0.7% respectively, leading the market gains. This rise was driven by soaring copper prices, reaching new records on the back of supportive measures in China's property sector and stronger-than-expected industrial data. 

Simultaneously, gold prices also surged to new highs, while crude oil prices saw modest gains amid political instability in major oil-producing nations such as Iran and Saudi Arabia. 

However, the positive impact of rising commodity prices on equities was offset by an increase in euro zone sovereign bond yields. This followed cautionary remarks from officials at both the European Central Bank and the Federal Reserve, underscoring uncertainties surrounding future monetary policy easing.

Paraphrasing text from "Reuters" all rights reserved by the original author.