European Stocks Slip Amid US-Iran Military Strikes

European stocks opened lower on Monday following fresh US-Iran military strikes that pushed oil prices and bond yields higher. The STOXX 600, a pan-European index, was broadly flat at around 655 points by 0712 GMT after opening lower.

The increased tension in the Middle East led to a jump of over 2% in Brent crude prices to around $90.70 per barrel. Energy stocks rose 0.6% in response, with investors worried about potential disruptions to energy supplies and inflation concerns.

The first known US military action against Iran since late July was reported on Sunday, with two missile launchers struck on Larak Island in the Strait of Hormuz. Tehran subsequently launched attacks on two US air bases in Jordan, according to Iranian media reports.