Market Turmoil Amid Middle East Tensions: Asia Stocks Dip, Safe Havens Rise
Asian stock markets dipped while safe-haven assets like gold and the Japanese yen rose as investors worried about a possible U.S. entry into the Israel-Iran conflict. President Donald Trump hinted at potential U.S. military involvement, escalating tensions and uncertainty in global markets.
In a climate of heightened tension, Asian stock markets saw declines on Thursday, as concerns over a potential U.S. entry into the Israel-Iran air conflict grew. Safe-haven assets like gold and the Japanese yen experienced gains, reflecting investor anxiety amid political uncertainty.
President Donald Trump left both allies and adversaries guessing about America's military intentions, stating ambiguously, "I may do it. I may not do it," regarding joining Israel's air strikes on Iranian targets. This led to a cautious market outlook, reflected in the drop of major stock indices such as Japan's Nikkei and Taiwan's benchmark.
Furthermore, U.S. markets prepared for turbulence, with S&P 500 futures pointing lower despite being closed for a holiday. Gold rose slightly to $3,378 per ounce, and energy markets watched closely as Brent crude remained near recent highs. Analysts warned that an escalation could significantly impact global energy supply and economic stability.
(With inputs from agencies.)
Google News