European stock markets rose on rallying bank shares and the euro gained against the dollar Monday after an upbeat German bond auction and as investors waited on a firm outcome to a Greece debt deal. Markets, especially oil, also reacted to news that the EU had agreed to slap sanctions on Iran's oil exports. In European midday trade, the Paris CAC 40 climbed 0.72 percent to 3,345.55 points, Frankfurt's DAX 30 won 0.66 percent to 6,446.77 points and London's FTSE 100 advanced 0.80 percent to 5,774.82. The euro rose to $1.2993 from $1.2933 on Friday in New York. "There is a lack of economic data due out today, and so the markets are headline driven, with investors reacting to comments out of Brussels and Athens," said Joshua Raymond, chief market strategist at City Index traders. Ahead of the EU finance ministers meeting, Germany won solid demand at a sale of one-year debt Monday, paying an ultra-low average rate that suggested investors are rushing to park cash in a safe haven in the crisis. Europe's top economy received 5.5 billion euros ($7.1 billion) of bids for 3.0 billion euros' worth of 12-month bonds on offer. Germany sold 2.54 billion euros, keeping back 460 million euros for later sale, according to its usual practice. It paid an average rate of 0.07 percent, suggesting investors are prepared to earn almost nothing to hold German debt.