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European shares drop as Middle East conflict and tepid earnings weigh

European?shares dipped?on Thursday due to a?growing?Middle East Conflict, and a series of patchy corporate results.

As of 8:10 AM GMT, the pan-European STOXX 600 index was down by 0.3% to 610.72. On Wednesday, the benchmark index had its best day for'more than three months. It recovered some of the earlier losses.

The mining sector was the worst affected, with a decline of 1.5%.

The U.S. and Israel war with Iran is now in its sixth day, but there's no quick resolution in sight. Iran launched another barrage of missile attacks on Israel earlier that day. And the U.S. Senate voted against a motion to stop the U.S. air campaign.

Investors are also 'watching' for the speech of European Central Bank president Christine Lagarde due later that day, to get clues about the outlook for monetary policy.

The markets are also waiting for the retail sales data from January in the Eurozone and the construction PMI of last month.

Shares of Nexi, a payments company, were halted after a 11.3% drop, a record-low following its full-year results.

DHL fell 5.4% after the German logistics group announced a 1.3% drop in operating profit for the fourth quarter, which was weighed down by their freight forwarding business.

(source: Reuters)