European Markets Have A Mixed Response to Middle East Escalation

European markets closed with a mixed performance on Monday, against a backdrop of heightened geopolitical tensions stemming from Iran’s recent drone and missile attack on Israel.

The FTSE 100 in the UK ended at 7,965.53, down 0.38%, while the DAX in Germany closed at 18,026.58, remaining unchanged. Similarly, the CAC 40 Index in France closed flat at 8,045.11.

European Markets (Credits: Amd Wiegmann)

On the other hand, the FTSE MIB in Italy saw a gain of 0.56%, closing at 33,954.28, and the IBEX 35 Index in Spain closed unchanged at 10,687.20.

The regional Stoxx 600 index managed to end marginally higher after paring gains from earlier in the session. However, oil and gas stocks experienced losses, dropping by 1.6% due to rising risks in the Middle East.

The tensions escalated after Israel reported downing 300 drones and missiles targeting its territory.

European Markets (Credits: Picasa)

This incident followed a suspected Israeli strike in Syria last week that killed top Iranian officials, raising expectations of an imminent Iranian retaliation.

Israel has vowed to respond but indicated it would choose the timing of its retaliation carefully.

Iran Conflict.

In Asia-Pacific, markets slipped on Monday as traders assessed the implications of the attack. Investors also awaited key economic data from China and Japan later in the week.

Meanwhile, U.S. stocks rose on Monday as investors grappled with various issues, including the fallout from Iran’s attack and increased volatility in the equity market, which led to the Dow Jones Industrial Average experiencing its worst week of the year last week.

Josh Alba
Josh Alba
Josh Alba stands at the forefront of contemporary business journalism, his words weaving narratives that illuminate the intricate workings of the corporate world. With a keen eye for detail and a penchant for uncovering the underlying stories behind financial trends, Josh has established himself as a trusted authority in business writing. Drawing from his wealth of experience and relentless pursuit of truth, Josh delivers insights that resonate with readers across industries.
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