European Stocks Mixed as Oil Rises on Iran Tensions, Gold Falls

European stock markets opened slightly higher Monday following Wall Street's gains last week, but gains were muted due to rising oil prices and sovereign debt market tensions. Paris rose 0.29%, London 0.22%, and Frankfurt was flat, while Milan fell 0.23%. Oil prices jumped as Middle East tensions escalated after Washington rejected a Tehran proposal, with Brent crude gaining 2.9% to $107.29 per barrel. Shipping through the Strait of Hormuz remains largely paralyzed, with Iran claiming control and the U.S. imposing a blockade on Iranian ports, keeping investors on edge. Asian markets fell, with Tokyo's Nikkei closing down 0.73% and Seoul's Kospi dropping 2.70%. Gold prices declined 2.53% to $4,176 per ounce as higher bond yields and expected central bank rate hikes made the non-yielding asset less attractive.