European indexes dropped around 2% at open, hit by a 10% jump in Brent crude prices and a 23% surge in gas prices. Defense companies and oil majors are benefiting from the war in Iran.A sharp drop, but not yet reason to panic. European financial markets opened on Monday, March 2, with steep declines following the joint US-Israeli offensive against Iran over the weekend and the death of Iran's Supreme Leader, Ali Khamenei. Forty-five minutes after opening, France's CAC 40 index was down 1.9%, Germany's DAX 30 had lost 2.2% and the United Kingdom's FTSE 100 was down 1%. Earlier in the morning, Asian stock markets had started the downward trend, with the Asia Dow index – which tracks major markets in the region – falling nearly 2%. The slump was a direct result of soaring energy prices. Brent crude, the European benchmark, gained around 10% during the morning, nearing $80 (€68) per barrel. Gas prices climbed even more sharply, up 23% on the Dutch TTF (Title Transfer Facility) market, the regional benchmark. The energy price surge reflected the situation in the Strait of Hormuz, located between Iran and the Arabian Peninsula, through which nearly 20% of the world's oil and 25% of its liquefied natural gas normally transit. On Monday morning, tanker traffic was almost at a standstill. "Sixty vessels" flying the French flag or owned by French companies, for example, were "blocked inside the Persian Gulf," Laurent Martens, general delegate of Armateurs de France, a French shipowners' association, told Agence France-Presse. All had "received instructions from the French Navy to take shelter." You have 63.46% of this article left to read. The rest is for subscribers only. --- Original source: https://www.lemonde.fr/en/economy/article/2026/03/02/european-stock-markets-tumble-and-defense-stocks-soar-amid-middle-east-conflict_6751011_19.html
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