FX.co ★ European Stocks Drop Amid Israel-Iran Conflict Concerns

European stock markets experienced a downturn on Tuesday, with the STOXX 50 index falling by 1% and the STOXX 600 decreasing by 0.8%. This decline was driven by renewed apprehensions about a possible intensification of the conflict between Israel and Iran. Investor confidence was shaken following US President Trump's call for Tehran’s evacuation and his premature departure from the G7 summit, which led to speculation that the US might be gearing up to offer stronger support to Israeli Prime Minister Benjamin Netanyahu’s military actions. Concurrently, Israeli forces continued their strikes on Iranian sites, targeting missile storage facilities and launch mechanisms. Among the most affected stocks were Amadeus IT Group, which dropped by 3.4%, UniCredit, down by 2.5%, and Bayer, declining by 2.3%. Additionally, renewable energy stocks faced selling pressure amid reports that the US Senate Finance Committee is contemplating a complete phase-out of solar and wind tax credits by 2028. Notable declines were observed in shares of SMA Solar Technology, which fell by 5.5%, Orsted, decreasing by 2.7%, and Nordex, down by 2.5%.