Geopolitical Tensions Stir Markets: Oil Prices Surge Amidst Uncertainty

Major share indexes across Asia saw declines on Monday as oil prices surged to five-month highs due to growing concerns over potential Iranian retaliation following U.S. strikes on its nuclear facilities. Investors are wary of the looming threats to global economic activity and inflation.

Analysts note the critical importance of the Strait of Hormuz, a key chokepoint in global oil trade, as a potential flashpoint in escalating tensions. The region accounts for a significant percentage of oil and liquefied natural gas shipments worldwide, heightening the stakes.

Oil markets remain volatile, with potential scenario changes influencing prices dramatically. The geopolitical landscape is under close watch, with key meetings and economic data releases set to shape market sentiment in the coming weeks.

(With inputs from agencies.)