The latest US-Iran strikes reignite concerns over Middle East stability, impacting oil prices and global stock markets as investors reassess economic forecasts
Oil prices rose slightly and global stock markets drifted Thursday after the United States and Iran exchanged new strikes despite their purported ceasefire, rekindling uncertainty about an end to the Middle East war.
Crude prices slipped back after earlier jumping around 2.5% back off Wednesday's sharp declines as a deal to stop a conflict that has all but halted shipping through the crucial Strait of Hormuz remains elusive.
The latest strikes were the most serious since an April ceasefire, and came despite a series of headlines suggesting talks on a deal were progressing.
"A fresh exchange of strikes between the two countries is testing the fragile ceasefire and forcing a reassessment of the chances of a near-term agreement which can reopen the Strait of Hormuz and dial down the pressure the crisis is putting on the global economy," said AJ Bell investment director Russ Mould.
