Global markets started Monday on edge after US stock futures slid as oil prices jumped on renewed Middle East tensions. Investors are weighing the risk of supply disruptions and the economic fallout from potential conflicts.
Futures tied to the Dow Jones Industrial Average fell 0.3%, while contracts on the S&P 500 and Nasdaq 100 slipped 0.26% and 0.35%, respectively. The move underscores how higher oil costs can pressure broader markets, stoking worries over corporate earnings and consumer spending.
Meanwhile, regional markets painted a different picture. On Sunday, stocks in the Middle East rallied, with Israel's TA-35 index climbing 1.5% and Egypt's EGX30 surging 2.7%. Traders seemed to bet that recent US airstrikes on Iranian nuclear sites could accelerate a resolution to the Israel-Iran conflict, according to Bloomberg.
For global investors, the sharp swings in energy prices serve as a reminder of how geopolitics can ripple through stock, bond and commodity markets. As oil hovers near multi-month highs, strategists say the key question is whether supply fears will drive a sustained market sell-off or fuel further sector rotation into energy and safe havens.
Stay tuned: this week’s data releases and central bank speeches could either amplify market jitters or provide relief to cautious traders around the world.
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US stock futures slide as oil surges amid Middle East turmoil
cgtn.com
