European Stocks Drop Amid Trump's Iran War Remarks

European stocks opened sharply lower on Thursday, as concerns over the U.S.-Iran war intensified following U.S. President Donald Trump's address to the American people. The pan-European Stoxx 600 index was down 1.2% shortly after the market opened, with most sectors and major regional bourses in negative territory. Mining and technology stocks led the decline, with their respective indexes falling 2.8% and 3%. In his address on Wednesday evening, Trump stated that the war would likely last another two to three weeks, during which U.S. forces would 'hit' Iran 'extremely hard.' This statement triggered a reversal in Wall Street's previous day's rally, with U.S. stock futures declining as the speech concluded. Asian markets also reversed gains on Thursday as investors processed the latest developments. Oil prices surged in response to Trump's remarks, with Brent crude rising more than 6% to $107.98. Over the past month, Brent crude has seen a significant increase, marking the largest monthly price gain since records began in the 1980s. European stocks had risen on Wednesday in anticipation of Trump's address, which initially suggested the war would end within weeks. Additionally, investors are reacting to reports that the Trump administration is considering new tariffs on pharmaceutical companies that have not secured low drug prices in the U.S. In corporate news, Shell is reportedly in discussions with the Venezuelan government to develop offshore natural gas fields, while Ryanair's CEO warned of potential jet fuel shortages in the U.K. due to its reliance on Kuwaiti supplies.