European stocks extended their weak trend in early Wednesday trading as escalating U.S.-Iran hostilities drove energy prices higher and global bond yields climbed. The STOXX Europe 600 fell 0.54 points, or 0.08%, to 646.92, while energy stocks rose 0.77% and media stocks fell 1.14%. Brent crude broke above $95 per barrel, and Dutch front-month natural-gas futures rose 2.3% to €73.85 per megawatt-hour, up 25% this month and at their highest level since the end of 2022. Below-normal European storage and uncertainty over Persian Gulf LNG flows, including the potential continued absence of Qatari LNG through year-end, added to winter supply concerns. Higher energy costs and Eurozone inflation accelerating to 3.3% from 2.9% strengthened expectations that central banks may maintain restrictive policies, with traders nearly certain of a quarter-point ECB hike next week and the probability of a 3% deposit rate by March 2027 rising to nearly 40%.