Europe open: Shares fall as oil nears $100 on US-Iran escalation

(Sharecast News) - European shares fell sharply on Wednesday as oil neared $100 a barrel after the US sank Iranian tankers and Tehran responded with missile strikes on American bases in Jordan. The pan-regional Stoxx 600 index was down 0.5% to 646 at 0703 GMT with all major bourses lower. Brent crude rose 1.55% to 99.44 a barrel.

US Central Command on Tuesday night said it had destroyed five Iranian oil tankers in response to recent attempts to attack American warships with ballistic missiles.

Jordan on Wednesday reported that its military had intercepted 18 Iranian missiles and reported no casualties.

Oil majors all gained in line with the rising oil price as the escalation heightened fears of a supply crisis. Equinor, Repsol, Galp, Eni and BP were all higher.

Zara owner Inditex fell despite reporting a stronger-than-expected start to its autumn trading.

Reporting by Frank Prenesti for Sharecast.com