European STOXX 600 drops nearly 1% amid Israel Iran tensions
European markets started the week on a low note, with the STOXX 600 index falling nearly 1% to its lowest point in two weeks.
Rising tensions between Israel and Iran pushed oil prices up by over 4%, which put extra strain on sectors like airlines and tech: both saw some pretty sharp losses.
European airlines and technology stocks slide
Airlines including Lufthansa and Air France dropped more than 2%, while tech stocks slid even further, echoing declines in US and Asian markets.
Infineon Technologies fell almost 2% and BE Semiconductor Industries lost nearly 4%.
On the flip side, Italian bank Monte dei Paschi shot up by almost 10% after getting a big takeover offer from Intesa Sanpaolo, even though Intesa's own shares slipped.
Investors are now keeping an eye on Thursday's European Central Bank meeting, where markets are pricing in a 25-basis-point rate hike.