Luxury stocks spike on proposed U.S.-Iran peace deal; LVMH up almost 5%

Luxury stocks saw a sharp uptick after a proposed Iran-U.S. deal outlined a reopening of the Strait of Hormuz and lifting of U.S. oil sanctions, according to Iran state media.

Shares of LVMH, Gucci-owner Kering, Hermes were up about 5%. Swiss group Richemont rose about 3.4% while the pan-European Stoxx 600 index rose 1.8%.

Luxury stocks across the board have been hard hit by the Iran war, as the Middle East had been a fast-growing market for the otherwise largely muted sector.

LVMH flagged a 1% negative impact from the Iran war in the previous quarter.

This is breaking news. Please refresh for updates.