The FTSE MIB index declined 1% on Monday to close at 38,840, following a US attack on Iran over the weekend that sparked fears of regional conflict. Tehran’s threat to close the Strait of Hormuz—a key route for 25% of global oil trade - intensified market concerns. NATO members also agreed to raise defense spending targets to 5% of GDP ahead of the upcoming summit, in line with US President Trump’s call. On the corporate front, utility stocks outperformed, supported by a drop in European natural gas prices, which eased power generation costs. Enel (+1.2%), Terna (+1.3%), A2A (+1.4%), and Italgas (+1%) were among the main gainers. Meanwhile, shares of Azimut (-2.6%), Telecom Italia (-2.4%), Poste Italiane (-2.4%), and Iveco Group (-2.5%) declined.