Global equities fell sharply and oil prices surged on Wednesday after the United States launched airstrikes on more than 80 targets in Iran and President Donald Trump declared an end to a temporary ceasefire. The U.S. attacks hit command networks, coastal radar, and Revolutionary Guard vessels, while Iran retaliated by firing on Bahrain, Kuwait, and Qatar. The Islamic Revolutionary Guard Corps also attacked three tankers in the Strait of Hormuz, driving Brent crude above $78 a barrel.
European markets bore the brunt of the selloff. Madrid's Ibex 35 dropped nearly 3% after Trump threatened to cut commercial ties with Spain, dragging Santander, Acerinox, and Fluidra down over 4%. Frankfurt, Paris, and London all posted steep losses, and the EuroStoxx 50 shed 2%. The Dow Jones fell nearly 1% in the previous session.
In Asia, South Korea's Kospi plunged over 5% while Tokyo's Nikkei retreated. The Trump administration revoked a waiver permitting Iranian oil exports, further tightening supply as tanker crossings in the Strait of Hormuz declined. Energy stocks bucked the trend, with Repsol rising 4%.