By Amanda Lee
Oil prices are marching higher as Israel and Iran continue air attacks against each other, sustaining a sense of uncertainty across markets in Asia.
Sirens sounded across Israel early Monday, warning of another barrage of missiles from Iran. That came after Israel's military said it was striking dozens of targets in Iran on Sunday.
"The furious exchange of fire between Israel and Iran leaves little doubt about unprecedented escalation in the Iran-Israel conflict," said Vishnu Varathan at Mizuho Securities.
That said, the hope for now is that the conflict would not erupt into an all-out war that threatens regional stability, he added.
Front-month WTI crude-oil futures were last up 1.3% at $73.90 a barrel, while front-month Brent climbed 1.1% to $75.04 a barrel. That followed a surge on Friday when news of Israel's attack first broke, sparking double-digit percentage gains.
Spot gold was last up 0.3% at $3,443.53 a troy ounce, though it was off the highs hit Friday.
Stock markets rebounded somewhat from the weakness at the end of last week.
Japan's Nikkei Stock Average was up 1.0%, while South Korea's Kospi advanced 0.6%.
Hong Kong's Hang Seng Index was up 0.1%, while China's Shanghai Composite Index was up 0.2%, reversing opening losses after the release of Chinese economic data. Singapore's Straits Times Index was 0.3% lower, and Malaysia's KLCI was down 0.2%.
Futures tied to U.S. indexes were steady. E-mini S&P 500 futures were up 1.1%, Nasdaq futures rose 1.3% and Dow Jones futures added 0.9%.
In currency markets, the U.S. dollar was mostly stronger against Asian currencies.
The market's focus will remain on the Middle East developments.
Mizuho's Varathan sees incentives for de-escalation on both sides of the Israel-Iran conflict that could curb tensions.
"Nonetheless, the situation is highly combustible, as the scope for miscalculations between the various parties involved is exceptionally high," he said.
Write to Amanda Lee at amanda.lee@wsj.com
(END) Dow Jones Newswires
June 15, 2025 22:46 ET (02:46 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
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