India, March 9 -- European stocks fell sharply to hit a two-month low on Monday as investors braced for a prolonged conflict in the Middle East that could send energy costs even higher, risking inflation and regional economic growth.
Brent crude futures last traded up 15 percent at $107 a barrel after surging to a nearly four-year high above $119 a barrel earlier.
Tensions in the Gulf escalated following reports of explosions at Al Udeid Air Base, the largest United States military installation in the Middle East.
Bahrain's state oil company has declared force majeure on its shipments after Iranian strikes in the region set the largest oil facility on fire.
Investors were also reacting to weak economic data from Germany. German industri...