European markets wobble as US-Iran tensions rise and Italian bond spread tops 100 basis points

Renewed tension between the United States and Iran, highlighted by President Donald Trump's refusal to grant Tehran any concessions, sent oil prices back above $107 per barrel and kept European equity markets subdued. Milan's FTSE Mib inched up 0.09% to 51,804 points, with modest gains in Paris, London and Frankfurt, while the Italian Btp-Bund spread surged past the 100-basis-point mark for the first time since spring 2025.

Energy firms responded with consumer offers: Enel launched a two-year fixed-price plan dubbed "Digital luce" that cuts electricity costs by roughly half, and Eni pledged a 30% discount on electricity and gas for customers signing up by 24 October. Azimuth finalized the acquisition of the U.S. fintech platform Beanstox, expanding its direct-to-consumer presence in America. Meanwhile, Treasury auctions saw 5- and 10-year Btp yields rise to three-year highs, and Wall Street opened mixed as investors awaited upcoming US inflation and employment data.