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European shares dip as Iran missile strike stokes military escalation fears

Published 08/01/2020, 09:16
Updated 08/01/2020, 09:18
© Reuters.  European shares dip as Iran missile strike stokes military escalation fears
DE40
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SAF
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SNR
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STOXX
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SXEP
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SX4P
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Jan 8 (Reuters) - European shares dropped on Wednesday as an

Iranian missile strike on U.S. forces in Iraq saw investors

fleeing risk assets amid rampant fears of a military escalation

in the Middle East.

The recent strike raises the question of retaliation by the

United States, with a statement from U.S. President Donald Trump

expected later in the day.

Iran said the strikes "concluded" its response to the U.S.

killing of one of its top military commanders last week.

The pan-European STOXX 600 equity index .STOXX was down

0.5% by 0807 GMT, with German stocks .GDAXI leading declines.

The chemicals subindex .SX4P was the worst performer,

while oil and gas stocks .SXEP rose tracking higher crude

prices on the prospect of supply disruptions in the Middle East.

Planemaker Boeing's BA.N European suppliers, Senior Plc

SNR.L and Safran SAF.PA , fell after a Boeing 737 belonging

to Ukraine International Airlines crashed after taking off in

Iran.

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