Geopolitical risks in the Gulf push Brent crude toward $100, pressuring global stocks amid stalled U.S.-Iran negotiations.
U.S. and European equities retreated as oil prices climbed for a third session, driven by renewed hostilities between Iran and the U.S. S&P 500 futures dipped 0.1%, while Europe’s STOXX 600 fell 0.4%. Brent crude rose 2% to $98 a barrel, nearing the $100 mark.
The conflict follows last week’s tentative ceasefire agreement, which remains unsigned. Iran’s missile attack on Kuwait and U.S. military strikes near the Strait of Hormuz heightened supply concerns, reversing optimism over a potential memorandum of understanding.
The OECD warned that prolonged tensions could slow global growth to crisis-level lows and fuel inflation. Asian markets bucked the trend, with Japan and Taiwan hitting record highs on AI-driven gains.