The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.

0741 GMT - European indexes largely edge higher in cautious trade as investors hold ground ahead of U.S. jobs data and news on talks in the Middle East. The Europe-wide Stoxx 600 adds 0.2% as software and healthcare sectors lead. London's FTSE 100 edges up 0.2%, with oil majors gaining as oil ticks higher. A Diageo rally continues into a second day, with the stock up 1.5%. The German DAX gains 0.4%. Software giant SAP gains 3.5%, though Daimler Truck Holding slips 2.9% after posting earnings. In Paris, the CAC 40 is 0.3% up as Dassault Systemes adds 2.4%, while Thales gains 1.9%. Italy's FTSE MIB is flat, while the Spanish IBEX 35 slips 0.3% as banking stocks weaken. The AEX edges 0.1% lower in Amsterdam.(josephmichael.stonor@wsj.com)

0739 GMT - High oil prices from the Middle East conflict present a challenge for major central banks due to inflation concerns, Tickmill Group's Patrick Munnelly says in a note. Media reports indicate that a potential agreement to reopen the Strait of Hormuz could include restrictions on U.S. and Israeli ships, which could prolong the energy supply shock and keep oil prices elevated. U.S., eurozone and U.K. government bond yields climb as investors raise bets on central banks raising interest rates in the coming months. Ten-year gilt yields climb 2.3 basis points to 4.943%; ten-year German Bund yields increase 2.5 basis points to 3.146%; while ten-year U.S. Treasury yields are up 0.2 basis points at 4.672%, Tradeweb data show. (miriam.mukuru@wsj.com)

0733 GMT - Yields on U.K. government bonds, or gilts, climb as oil prices rise on concerns over whether a deal will be reached between the U.S. and Iran to reopen the Strait of Hormuz. Media reports say Iran's semi-official news agency Fars on Thursday released details of a draft agreement between Iran and Oman that would ban U.S. and Israeli ships from transiting the strait. Bond yields rise as the prospect of a prolonged Middle East conflict lifts oil prices and revives inflation fears. Brent crude prices rise 1.2% to $83.5 per barrel. Ten-year gilt yields advance 2.5 basis points to 4.945%, Tradeweb data show. (miriam.mukuru@wsj.com)

0719 GMT - Bitcoin edges lower as investors trade cautiously amid uncertainty over the Iran war and ahead of key U.S. nonfarm payrolls data at 1230 GMT. Media reports say Iran's semi-official news agency Fars on Thursday released details of a draft agreement between Iran and Oman that would ban U.S. and Israeli ships from transiting the Strait of Hormuz. The jobs data will be closely monitored given the potential impact on Federal Reserve interest-rate expectations. The market currently prices a 56% chance of a 25 basis-point rate rise at the September meeting and fully prices a move by December, LSEG data show. Bitcoin falls 0.2% to $64,301, according to LSEG. (renae.dyer@wsj.com)

0650 GMT - Treasury yields edge higher while the dollar trades steady with the focus on the Iran war and the U.S. nonfarm payrolls report at 1230 GMT. "While Iran and Oman are reportedly close to a deal on reopening the Strait of Hormuz in return for providing Iran control over inbound traffic to the Gulf, the different parties still seem to disagree over what exactly such control would entail," Danske Bank's August Hyldgaard says in a note. If the payrolls data show another fall in the unemployment rate and/or rising wage pressures, this could boost interest-rate rise expectations, he says. The DXY dollar index trades flat at 99.947. The 10-year Treasury yield rises 0.4 basis points to 4.674%, according to Tradeweb.