New Delhi: Crude oil prices jumped 4% on Monday after Iran launched multiple missiles toward Israel in retaliation for Israeli actions in Lebanon, undermining the ceasefire. WTI topped $93 a barrel and Brent rose above $96 following the escalation.
The dollar index held near 100 on Monday after climbing more than 1% last week, supported by a strong US labour market, as reported by News 18.
The renewed tensions, along with a tech sell-off, rattled global equity markets. Asian shares fell as much as 8% in the morning session.
South Korea’s Kospi was th
e hardest hit, dropping 8% to 7,442 before recovering to 7,568. Japan’s Nikkei 225 tumbled about 3%, or 3,000 points intraday, amid heavy losses in tech stocks.
Despite the spike in tensions, US President Donald Trump said he believes Washington is close to a final agreement with Iran. He warned Israel to exercise restraint after Tehran’s missile strikes, saying further escalation could jeopardize delicate talks.
Axios reported that Trump planned to call Israeli Prime Minister Benjamin Netanyahu to urge caution following Sunday’s missile attack — the first since an April ceasefire.
US Markets Hit Hard
US markets faced severe losses on Friday, erasing nearly $2 trillion in market value after stronger-than-expected jobs data raised concerns the Federal Reserve may keep interest rates higher for longer.
On Wall Street, all three major indexes finished lower, led by heavy selling in technology. The Dow fell 1%, the S&P 500 lost 2.4%, and the Nasdaq plunged 4%.
Tech giants in the “Magnificent Seven” — including Nvidia, Alphabet, and Meta — all closed lower. Broadcom fell nearly 7%, continuing its drop after reporting weak results earlier in the week.