Europe open: Shares slump as oil breaches $103 on Hormuz attacks

(Sharecast News) - European shares opened sharply lower on Thursday as oil prices rose amid more attacks on shipping in the Strait of Hormuz.

The pan regional Stoxx 600 was down 1.11% to 623 at 0715 GMT with all major bourses lower.

Brent crude rose 3.7% to $103 a barrel after attacks on vessels in the past week increased as Tehran responded to more concerted efforts by tankers to run its blockade of the key waterway.

US stocks declined on Wednesday, with the S&P 500 and Nasdaq retreating from all-time highs as bond yields hit a fresh 24-year high, while investors digested minutes from the last Federal Reserve meeting suggesting policy makers could wait until December before hiking rates again.

The S&P 500 and Nasdaq both fell 0.2%, pulling back from record highs reached the previous session, while the Dow fell 0.7%.

In economic news, Germany's exports slipped by an unexpected 0.8% in August, according to official data published on Thursday, as weaker demand across key markets weighed on monthly trade flows.

After seasonal and calendar adjustment, outbound shipments continued to lose momentum following a modest rise in July. Analysts had forecast a 0.6% rise.

On the equities front, shares in Tesco rose as the UK supermarket chain lifted annual guidance after interim earnings jumped 6.5%.

Argenx slumped after a late-stage trial for its Sjögren's disease treatment failed to meet targets.

Reporting by Frank Prenesti for Sharecast.com