The FTSE MIB fell 0.9% to close at 48,669 on Monday, extending losses from the previous session amid broader risk-off sentiment across global markets. Investors remained focused on escalating Middle East tensions, with no clear signs of de-escalation as US President Donald Trump maintained a hardline stance toward Iran. The developments fueled inflation concerns and pushed bond yields higher. Heavyweight financial stocks led losses, including Intesa Sanpaolo (-2.5%), Generali (-2.8%), BPER Banca (-5.4%), and MPS (-7.9%). Deutsche Bank downgraded BPER Banca to “hold” from “buy,” while raising its target price for MPS and maintaining a “buy” rating. Luxury stocks also weakened amid higher risk aversion, with Ferrari and Moncler both down 0.9%. In contrast, Eni gained 2% on higher oil prices and Leonardo rose 1.9% as geopolitical tensions boosted defense-related shares.