European shares halted their ascent Wednesday after an attack on Iran's Pars gas field pushed oil prices higher and renewed fears of escalation in the Middle East.
The pan-European STOXX 600 declined 0.70 percent, ending a two-day winning streak. Brent crude futures surged 4.75 percent to $108.33 a barrel. This marks the first reported strike on Iranian energy infrastructure in the Gulf during the US-Israeli war.
Michael Brown of Pepperstone warned that energy infrastructure is no longer off-limits, challenging market optimism regarding President Donald Trump. Investors now focus on Federal Reserve Chair Jerome Powell and ECB President Christine Lagarde for interest rate clues. Consumer staples and healthcare fell, while banks rose. Logitech dropped on a UBS downgrade, while Diploma hit a record high.