Oil prices pushed higher Thursday on worries thatnucleartalks between United States and Iran might not avert a new conflict that could threaten supplies.
On stock markets, a rally across Asia following gains by US tech heavyweights failed to bolster indices in Europe and the United States, where traders focussed on a string of corporate results.
The gains for oil extended a surge seen Wednesday, after the White House warned that Iran would be “wise” to do a deal with the United States.
US President Donald Trump once again hinted at a strike on Tehran on his Truth Social site, with a US military buildup underway in the Middle East.
“Oil is extending its gains, with Brent crude back above $70 a barrel… as fears of a military confrontation between the US and Iran rattled energy markets,” said Matt Britzman, senior equity analyst at Hargreaves Lansdown.
“Nuclear talks between the two sides appear to be going nowhere fast, and the geopolitical premium is clearly back in play,” he added.
The US benchmark oil contract WTI rose to a six-month high.
“The US has moved a stack of military assets into the region, and this is unnerving investors,” said Trade Nation analyst David Morrison.
Wall Street’s main indices moved lower at the start of trading in New York.
Morrison said the minutes of its last meeting of the Federal Reserve’s monetary policy committee released late Wednesday were also affecting sentiment.
Source: Insider Paper
