European stocks traded near flat on Monday as rising oil prices and renewed Middle East tensions unsettled markets. US forces struck two Iranian missile launchers on Larak Island in the Strait of Hormuz, and Tehran retaliated by attacking US forces in Jordan. President Trump said Iran’s main oil terminal on Kharg Island was being "blown to smithereens." Energy stocks led, with TotalEnergies rising 1.4% and Eni gaining 1.5%, while Siemens Energy dropped nearly 4%, the STOXX 600’s biggest decline. ASML Holding fell 1% and Roche lost 0.7%. Despite the subdued session, the STOXX 50 was up 2% for August and the STOXX 600 had gained 0.9% after both indexes set records in the first half of the month.