STORY: From airlines to oil, global shares slumped again on Monday as the U.S.- Israeli war on Iran showed no signs of slowing down.
European shares fell to their lowest in over two months as surging oil prices exacerbated inflation worries.
The pan-European benchmark fell for a third session, down 2.3% in early trade.
The index fell 5.5% last week, marking its worst week in nearly a year.
Oil prices came off earlier highs in European morning deals but were still up more than 15% at levels not seen since mid-2022.
That's as some major producers cut supplies and fears of prolonged shipping disruptions gripped the market.
Brent crude futures were up over 16%, in early deals - on track for the biggest-ever jump in a single day.
Disruptions in tanker movements and rising security risks have already slowed shipping activity.
And left Asian buyers reliant on Middle Eastern crude especially vulnerable because the crisis is unfolding around the Strait of Hormuz.
Roughly one-fifth of the world's oil supply passes through the strait.
In Europe, banks which were in the epicenter of the sell-off last week, extended declines with a 3.2% fall.
And in airlines, carriers Lufthansa and Air France KLM fell 3.9% and 5.2%, respectively.
On the flip side, higher crude prices pushed energy and defense stocks higher.
