European Stocks Poised for Weak Start as Iran Conflict Drags Into Fifth Week

European equities are bracing for a downbeat open to kick off the trading week, with the protracted war in Iran casting a long shadow over market confidence. The conflict, which has now entered its fifth week, showed no signs of abating, fueling persistent uncertainty across financial markets. The escalating situation in Iran has become a dominant factor shaping risk appetite in Europe, as investors grapple with the geopolitical ramifications of a war that appears to have no near-term resolution in sight. The prolonged nature of the conflict has increasingly unsettled traders, who are contending with an already complex global economic backdrop. With no diplomatic breakthrough on the horizon, European markets face the prospect of continued pressure as the new week gets underway. The longer the conflict persists, the greater the potential for broader disruptions to global energy supply chains and international trade flows — dynamics that could ripple across sectors and asset classes well beyond the immediate region. Investors across the continent will be closely monitoring any developments in the conflict zone as the week unfolds, with sentiment likely to remain fragile until clearer signals emerge about a possible path toward de-escalation. For now, the overriding mood heading into Monday's session is one of caution, with market participants positioning defensively in the face of sustained geopolitical risk.