Markets Recoil, and Then Ease, as Traders Digest Iran Attack

Oil prices spiked and then fell back on Wednesday, and global stocks were flat or moderately lower, while U.S. stocks rose slightly, after Iran launched missiles at American forces based in Iraq.

The markets’ concerns eased as Iran’s foreign minister suggested that he was ready to stand down for now and President Trump suggested the damage from the attack had been limited, raising hopes of a restrained conflict in a region critical to world oil supplies.

Brent crude, the international benchmark, jumped about 5 percent, as high as $71.75 a barrel, immediately after news of the Iranian missile attack. But within hours it had fallen to $68.60, about 0.2 percent higher than the day before.

West Texas Intermediate crude also jumped and then receded, and was trading at about $62.95 a barrel, about 0.2 percent lower from Tuesday. Although prices jumped soon after the killing, the upward momentum quickly eased.

Article source: https://www.nytimes.com/2020/01/08/business/global-markets.html?emc=rss&partner=rss