(Reuters) – The main European stock markets are in the red at the start of Friday’s session, news of an Israeli attack on Iran pushing investors towards safe haven assets and pushing up oil prices.

In Paris, the CAC 40 lost 0.67% to 7,969.29 points around 0753 GMT. In London, the FTSE 100 fell 0.65% and in Frankfurt, the Dax fell 1.12%.

The EuroStoxx 50 index is down 0.99%, the FTSEurofirst 300 is down 0.82% and the Stoxx 600 is down 0.83%. If the losses continue, the STOXX will experience its biggest weekly decline since last October.

Several sources reported that Israel launched an attack on Iran on Friday, a new stage in the conflict now open between the two enemy regional powers at the risk of dragging the Middle East into an even deeper crisis.

In response, Brent rose 1.15% to $88.11 per barrel and American light crude (West Texas Intermediate, WTI) rose 1.35% to $83.85 CLc1.

The decline towards safe haven assets is also pushing down yields on German 10-year bonds, the benchmark for the euro zone.

Geopolitical uncertainties are overshadowing a new round of corporate results in Europe, some of which have been well received.

Standing out from the general decline, L’Oréal increased by 4.8% after reporting on Thursday evening an increase in its turnover above expectations for the first quarter.

Sodexo, which forecasts organic revenue growth for 2024 at the high end of the 6% to 8% range, is up 3.6%, while Pluxee, its former employee benefits division, takes 8 .7% after raising its objectives for 2024.

Schneider Electric fell 1.7% after announcing discussions with Bentley Systems regarding a potential transaction.

In reaction to geopolitical tensions, airlines Air-France-KLM, International Consolidated Airlines, easyjet, Ryanair are all down more than 2%.

(Written by Diana Mandiá, edited by Blandine Hénault)

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