European stock indices declined sharply amid growing geopolitical tensions, with Germany’s DAX down 1.0%, France’s CAC 40 off 0.8%, and Spain’s IBEX falling 1.2%. The market reaction reflects investors' concerns following former President Donald Trump’s overnight remarks, where he demanded a complete end to Iran’s nuclear ambitions, signaling a hardline stance rather than a push for ceasefire. Other global assets also retreated, including U.S. stock futures (S&P 500 -0.4%) and cryptocurrencies, as risk appetite weakened across the board.
Trump, speaking from Air Force One after leaving Canada, emphasized that Iran is “very close” to a nuclear weapon and insisted he wants a definitive solution, not a temporary ceasefire. He predicted continued Israeli strikes and suggested the next 48 hours will be critical. Investors have shifted into cautious mode, awaiting further clarity on whether the situation will escalate militarily or move toward diplomacy. With commercial airspace in the region already impacted and U.S. assets potentially at risk, the next few days may be pivotal for markets and geopolitical strategy alike.
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Source: xStation 5
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