Brussels, April 08 (QNA) - European stocks closed significantly higher on Wednesday following the announcement of a ceasefire between the US and Iran.

The pan-European Stoxx 600 index rose 3.7 percent to 612.32 points, marking its biggest one-day gain in a year.

European stock markets also rose, with Germany's DAX index jumping 4.7 percent and France's CAC 40 index climbing 4.5 percent.

The gains were widespread, with shares in the travel, industrial, and banking sectors rising between 5.7 percent and 7.1 percent.

Steel stocks also rebounded after the sector had been under pressure, as production costs are heavily dependent on energy prices.

ArcelorMittal shares jumped 12.8%, topping the Stoxx 600 index, while shares of German companies Salzgitter and Thyssenkrupp climbed 15.2% and 9%, respectively.

The technology sector index surged 5.6%, buoyed by strong performances from chipmakers. Shares of Infineon, Swetec, ASML, and Zos Microtek rose between 8.9% and 11.8%.

Energy stocks were the only exception, declining 2.3%. Shell shares fell 4.7% after the oil major lowered its first-quarter gas production forecast, while citing higher oil trading profits and reduced short-term cash flow. (QNA)