Global Market Update

European Stocks Decline Amid Middle East Conflict

On Monday, European stock markets experienced a broad decline, with many indices slipping more than 2%. The pan-European STOXX 600 dropped 1.8% to 622.35 points, its lowest level since mid-February. This decline marked a retreat from the record high reached on Friday.

Sector Performance

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• Energy Stocks: Rallied 3.5% following a spike in crude oil prices, which surged as much as 13% due to disrupted shipping in the Strait of Hormuz.
• Travel and Leisure Stocks: Declined 4.4%, with Lufthansa shares falling 11% after extending flight suspensions.
• Banking Stocks: Declined 3.6%, while insurers fell 2%.
• Defence Stocks: Gained between 5% and 8%, with companies such as BAE Systems, Rheinmetall, Saab, and Leonardo experiencing significant gains.

Regional Market Performance

• Asian Markets: Traded lower on Monday, with the exception of Chinese stocks.
• Chinese Stocks: Closed at a 10-year high, with the Shanghai Composite Index ending the session up 0.5% at 4,182.6 points.
• Hong Kong's Hang Seng Index: Fell more than 2% to a two-month low.

Key Market Indicators

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• Crude Oil Prices: Surged as much as 13% due to disrupted shipping in the Strait of Hormuz.
• STOXX 600: Dropped 1.8% to 622.35 points, its lowest level since mid-February.