FX.co ★ European Stocks Open the Week Lower

On Monday, the STOXX 50 dropped by 0.2%, while the STOXX 600 saw a decrease of 0.3% as investors exercised caution amid renewed concerns regarding the Federal Reserve's independence and rising geopolitical tensions involving Iran. The US Department of Justice has initiated a criminal investigation into Federal Reserve Chair Jerome Powell, signifying a potential intensification in President Trump's efforts to exert pressure on the central bank. Concurrently, there are reports suggesting that the US President is evaluating possible actions against Iran. In Europe, several nations, including Germany and the UK, are reportedly exploring the possibility of setting up a joint NATO mission to safeguard Greenland and the Arctic region. On the corporate front, Barclays shares experienced a decline of approximately 4.3% after President Trump proposed a one-year cap on credit card interest rates at 10% on Friday. Other financial stocks also traded lower, including Banco Santander (-1.5%), UBS (-0.9%), and BBVA (-0.8%). In contrast, defense stocks performed well, with Rheinmetall gaining 1.7% and BAE Systems rising by 2.8%.