European Stocks Weaken, Iran and Spain Geopolitics Weigh Down Sentiment
European stocks opened in the red again on Thursday (March 5th) as market participants continued to monitor the escalation of the US-Israel war against Iran. The Stoxx 600 Index fell 0.4% shortly after opening, with the FTSE 100 down 0.3%, the DAX down around 0.6%, and the CAC 40 down 0.5%.
Spain also suffered, with the IBEX down 0.4% in early trading. The market paid particular attention to Madrid after US President Donald Trump threatened to cut off all trade with Spain for refusing to allow its military bases to be used for attacks on Iran.
Sectorally, the decline was widespread. Nearly all major sectors moved negatively, with the exception of Oil & Gas, Utilities, and Food & Beverages, which remained relatively resilient, reflecting a defensive preference amid geopolitical uncertainty.
The Middle East conflict remains a risk anchor. Israel launched a new strike on Tehran on Wednesday, while its defense minister declared it would "destroy" the Iranian regime's capabilities. Meanwhile, the US claimed to have destroyed 17 Iranian vessels and nearly 2,000 targets.
Beyond geopolitics, the market agenda also featured earnings reports from Merck, DHL Group, Reckitt Benckiser, Galderma Group, and Universal Music Group, as well as the release of the latest European Union retail sales data, which could potentially influence domestic sentiment in the region.
Source: Newsmaker.id
