Oil Prices Soar as US-Iran Tensions Fuel ECB Hike Expectations

European stocks dipped on Monday as crude oil prices climbed following another round of strikes between the US and Iran, causing inflation concerns and increasing expectations for a European Central Bank rate hike.

The STOXX 600 index fell 0.1% to 649.98 points by 0850 GMT, while Switzerland's benchmark index declined 1.2%, dragged down by Novartis' 3.4% slide after its cholesterol treatment failed in a trial.

Energy companies gained 1.2%, mirroring the uptick in oil prices as Brent futures climbed over $1 per barrel due to fears of supply interruptions in the Strait of Hormuz and nearby waters.