Iran attack: Crude oil prices jump after Iraq missile attacks

January 8, 2020 by No Comments


Flames rising from the burning of excess hydrocarbons at the Nahr Bin Omar natural gas field, north of the southern Iraqi port of Basra.Image copyright
Getty Images

Oil prices have jumped after at least two airbases hosting US troops in Iraq were attacked.

Crude oil jumped by as much as 4.5% to $65.65 per barrel in Asian trade on concerns that this could disrupt oil supplies from the Middle East.

So-called safe haven assets, like gold and the Japanese yen, also rose sharply on the news.

At the same time global stock prices were sent lower on concerns over the growing conflict in the Middle East.

Japan’s benchmark Nikkei 225 stock index fell by more than 2.5%.

Iranian state television said the attack was a retaliation for the killing of the country’s top commander Qasem Soleimani.

The attack happened just hours after the funeral service of Iranian General Qasem Soleimani, who was killed by a US drone strike on Friday.

His death had raised concerns that the conflict between the US and Iran could escalate further.