Escalation Fears Weigh on European Markets [US-Iran War]

UK FTSE Index Expected to Open Down 0.7%

Belgium European Union Headquarters. Photo by Reuters and Yonhap News

According to CNBC, a leading U.S. economic media outlet, major European stock markets are expected to show a clear downward trend on March 3, 2026.

Citing IG data, the outlet reported that the UK FTSE index is expected to open down 0.7%, the German DAX index down 1%, the French CAC40 index down 0.75%, and the Italian FTSE MIB index down 0.6%.

The escalation of conflict between the United States and Iran is spreading across the Gulf region, raising concerns in global markets about the risk of a broader war.

International oil prices also surged the previous day due to fears that the U.S.-Iran conflict could disrupt oil infrastructure and drive up prices. This was cited as a factor that could increase the risk of additional inflation.

According to The Wall Street Journal (WSJ), the U.S. State Department announced that two drones struck the U.S. Embassy in Riyadh, Saudi Arabia, on the night of March 2, 2026. The Saudi Arabian Ministry of Defense also officially confirmed this incident.

The Islamic Revolutionary Guard Corps (IRGC) of Iran is also maintaining its policy of closing the Strait of Hormuz, a key crude oil shipping route. Reuters reported, citing Iranian local media, that Brigadier General Ebrahim Jabari, an aide to the IRGC's top commander, declared that "all ships attempting to pass through the Strait of Hormuz will be set on fire."

On this day, companies such as Thales, Alcon, ASM International, Kuehne + Nagel International, and Schaeffler are scheduled to announce their fiscal year 2025 earnings. The preliminary inflation figures for the eurozone for February are also set to be released, with inflation expected to remain at around 1.7%.

Meanwhile, major Asian stock markets closed lower on March 3, 2026. The Nikkei index ended the session at 56,279, down approximately 3.06% from the previous trading day. The KOSPI index closed at 5,791.91, down 7.24%.

This content was produced with the assistance of AI translation services.