Madrid – European stock markets experienced a volatile session on Friday, March 13, 2026, as concerns over rising crude oil prices weighed on investor sentiment. The Spanish IBEX 35 index initially fell sharply before paring some of its losses as oil prices stabilized, though remaining in negative territory.
The IBEX 35 closed down 1.22% at 17,139 points, according to RTVE.es, mirroring a broader downturn across European markets. London’s FTSE 100 fell 0.47%, the Paris CAC 40 dropped 0.71%, and Frankfurt’s DAX declined 0.21%.
The downturn was largely attributed to escalating tensions in the Middle East and the potential for disruptions to oil supply, pushing Brent crude above $100 per barrel. This resurgence in oil prices has reignited fears of persistent inflation and a potential tightening of monetary policy by central banks. The IBEX 35 initially fell as much as 1.3% in early trading, reaching a low of 16,918 points, Negocios.com reported.
Within the IBEX 35, the banking sector experienced significant losses. Unicaja, Banco Sabadell, Bankinter, and Banco Santander each fell by more than 4%. CaixaBank declined 3.55%, and BBVA dropped 3.53%. ArcelorMittal saw a decline of over 5% within the steel sector. This broad-based selling pressure underscores the market’s sensitivity to geopolitical risks and their potential economic impact.
Repsol was a notable exception, rising 2.63% on the back of higher crude oil prices. Other companies posting gains included Enagás, Endesa, and Iberdrola, all increasing by more than 1%. Telefónica also saw a modest increase of 1%.
Brent crude is currently trading above $101 per barrel, a level not seen since 2022, according to Negocios.com. West Texas Intermediate (WTI) crude, the U.S. Benchmark, rose 9.72% to $95.73 per barrel.
Analysts suggest the market is beginning to factor in a potentially prolonged closure of the Strait of Hormuz and the possibility of the conflict in the Middle East impacting corporate earnings, mortgages, credit, and sovereign debt. The situation highlights the interconnectedness of global markets and the vulnerability of economies to energy price shocks. Benzinga notes that the IBEX 35’s performance is closely tied to the price of Brent crude.
Despite the initial declines, the IBEX 35 managed to recover some ground, closing above the 17,000-point mark, Expansión reported. However, the overall sentiment remains cautious as investors assess the evolving geopolitical landscape and its potential implications for the global economy.
