Financial markets across the globe traded lower on Monday after the United States-Israel-Iran war intensified further, with both sides attacking each other’s energy and military units in the region.
Contracts of Dow Futures and S&P Futures in the US were trading lower by 1.7 percent and 1.6 percent, respectively.
Japan’s Nikkei was also down over 6.62 percent, while Hang Seng in Hong Kong traded 2.15 percent lower on Monday. The South Korean market again topped in facing the steepest declines, with Kospi plummeting over 6.69 percent during the trade.
Markets across the world are rattled by the war. India’s equity benchmarks Sensex and Nifty lost over 2,000 points and 600 points, respectively, as the war entered the second week.
The indices were down over 2.4 percent each during the early trade hours on Monday.
Days after the Iranian President apologised for attacking its neighbours, Iran on Monday hit key oil units in the region.
Bahrain’s largest oil refinery, BAPCO, was reportedly hit by Iranian drones. Four Iranian drones heading towards Saudi Arabia’s Shaybah oilfield were intercepted and downed by the West Asian nation, reports said.
Meanwhile, in fresh strikes on Monday, Israel targeted areas in central Iran. It also attacked alleged Hezbollah sites in Lebanon’s capital Beirut.
Oil under attack has sent the commodity’s price above the $110 per barrel mark for the first time in four years.
The global benchmark, Brent Crude, was trading at $110.30 per barrel, rising over 19 percent, while WTI Crude was hovering around $107 per barrel after surging 18.48 percent.
The tensions between Iran and the Israel-US duo give no sign of easing down, as the former has appointed Ayatollah Mojtaba Khamenei, the son of the slain Supreme Leader Ali Khamenei, as the country’s new supreme leader early on Monday.
According to a report by Fox News, the appointment has not gone down well in the US, as President Donald Trump was reported to be “not happy” with the development.
