Plumes of smoke rise following reported explosions in Tehran on March 1, 2026, after Iran’s Supreme Leader Ayatollah Ali Khamenei was killed a day earlier in a major US and Israeli strike, prompting a new wave of retaliatory missile strikes by Iran.
Mowj | afp | fake images
LONDON – European stocks closed in negative territory as global markets fell after the United States and Israel launched widespread attacks on Iran over the weekend.
The pan-European Stoxx 600 It provisionally closed almost 1.7% lower, with the main stock markets in negative territory.
Norwegian oil and gas exporters Vår Energi and Equinor They rose by 6% and 8% respectively, as concerns about global energy supplies grew.
European defense stocks closed mixed, paring earlier gains. from Great Britain BAE Systems rose 6%, while Swedish fighter aircraft maker Saab fell 0.5%. Italy leonardo rose almost 3% and that of Germany Renk rose more than 3%. Italian Aerospace Basic Element Plane fell 1%.
Companies linked to the travel and tourism sector plunged as global disruptions continued on Monday. Carnival PLC, the Anglo-American cruise line operator, was down 8%, and International Consolidated Airlines was down more than 5%. TUI AG fell almost 10% and Lufthansa lost 5%.
The strikes against Iran killed the country’s supreme leader, Ayatollah Ali Khamenei, and the United States and Israel urged Iranian citizens to seize the opportunity to overthrow the regime.
Iran has launched retaliatory attacks against US bases in the Middle East region. Four U.S. service members died as part of the conflict, according to U.S. Central Command.
US Defense Secretary Pete Hegseth said on Monday that more US casualties should be expected. “War is hell,” Hegseth said. Air Force Gen. Dan Caine, chairman of the Joint Chiefs of Staff, reiterated in a briefing that it will not be a “one-time, overnight operation” and that there will be “additional losses.”
Oil prices continued to rise on Monday as traders feared a major disruption to supply through the Strait of Hormuz. International benchmark Brent crude prices hit a new 52-week high and rose nearly 6%.
U.S. stocks plunged on Monday and Asia-Pacific markets also plunged, with airline stocks suffering heavy losses amid airspace disruptions and airport closures in the Middle East.
The full-scale attack by the United States and Israel was launched on Saturday after Iran rejected US demands to curb its nuclear program, and another round of talks, held last Thursday, ended without a deal.
Earnings in Europe come from Bank of Ireland Group, Smith & Nephew and Galp Energia, while data released includes German retail sales and Italian GDP figures.
