European stocks open sharply lower

European stocks opened sharply lower today after Israeli attacks on Iran dampened risk sentiment and pushed investors toward safe-haven assets.

The pan-European STOXX 600 index lost 1.2% to 543.54 points, with the benchmark index heading for its fifth consecutive day of losses and a weekly decline.

This tension is increasing caution in global financial markets as they try to navigate the repercussions of US President Donald Trump’s tariff policy.

The escalating tensions in the oil-rich Middle East have pushed crude prices up by more than 7%. The heaviest downward pressure was on airline stocks.

The travel and leisure sector fell 3.1%. British Airways fell 4.8%, Lufthansa lost 4.6%, and easyJet lost 4.3%.

Energy stocks saw gains. Shell and BP shares rose 1.9% each. Defense stocks also rose, with France’s Dassault Aviation up 1.3% and Italy’s Leonardo gaining 2.3%.