European stocks rally as oil prices ease; telecom shares weaken on SpaceX competition

European stock markets rebounded as easing crude oil prices and retreating bond yields boosted investor sentiment. The modest recovery was underpinned by tentative hopes of reduced tensions in the Middle East, which had pressured markets in recent sessions.

Telecom shares, however, lagged the broader recovery. Concerns over SpaceX's spectrum acquisition weighed on established wireless operators, with investors worrying about intensified competition in the sector. The deal has raised questions about the competitive landscape for traditional telecom providers across Europe.

The mixed performance underscores the selective nature of market recovery, with energy-sensitive and rate-sensitive sectors finding support while technology and telecom faces headwinds from structural changes in the industry.