European markets anticipated a negative start as investors concentrate on the escalation in the Middle East.

European markets anticipated a negative start as investors concentrate on the escalation in the Middle East.
European markets anticipated a negative start as investors concentrate on the escalation in the Middle East.

The Middle East conflict is expected to negatively impact European stock markets on Thursday.

According to IG's data, the U.K.'s index has opened 38 points lower at 8,252, Germany's index is down 67 points at 19,097, France's index is down 26 points at 7,545, and Italy's index is 153 points lower at 33,414.

Yesterday, European stocks were mixed as investors evaluated the ongoing conflict in the Middle East and assessed new unemployment data in the euro zone, which indicated that unemployment across the euro zone remained unchanged at a record-low 6.4% in August.

On Thursday, Israel launched an attack on central Beirut, resulting in the death of at least six people, as it continues to pursue the Iran-backed armed group Hezbollah. Following the attack, Israeli authorities announced that most of the missiles fired by Iran earlier this week were intercepted.

Overnight in the Asia-Pacific region, Hong Kong stocks dropped as the China stimulus rally, which followed the announcement of support measures last week, seemed to lose momentum. Markets in mainland China are closed until October 8th.

On Wednesday, U.S. stock futures decreased slightly as investors anticipate the release of weekly initial jobless claims data on Thursday and the September payrolls report, which will be published on Friday.

by Holly Ellyatt

Markets