European Shares Show Mixed Reactions Amid Ceasefire and Economic Updates

European shares demonstrated a mixed performance on Wednesday as investors turned their attention to the ongoing ceasefire between Iran and Israel. Investors are also weighing economic developments, such as Spanish economic slowdown and European auto sales growth.

The pan-European STOXX 600 index edged up by 0.04% to 541.2 points. Germany's index slipped 0.2%, France's rose 0.1%, Spain's lost 0.8%, and the UK gained 0.2%. The Israel-Iran ceasefire brokered by U.S. President Donald Trump seemed to hold, with positive feedback on U.S.-Iran talks. Meanwhile, NATO leaders convened to discuss increased defense spending.

European auto stocks were standout performers, advancing 1.4% overall, buoyed by a 1.9% rise in year-on-year car sales. Meanwhile, defense stocks gained 1.4%, while media stocks fell around 1%. Investors also await U.S. Federal Reserve Chair Jerome Powell's forthcoming testimony for hints on future rate cuts.

(With inputs from agencies.)