The Middle East has experienced a significant escalation in tensions over the past few hours, with reports indicating Israel has launched strikes against Iranian nuclear facilities.
Global Index Futures are down by 1.5% or more, while the (Stock Options Volatility Index) has surged by 15%.
In a major risk-off move, bonds and gold are gaining, and safe-haven currencies such as the (CHF), (USD), and (JPY) are leading the Forex board.
Meanwhile, and other energy products have breached 4-month highs – is trading around $3,420 and came very close to record highs on the initial spike.
What Happened Overnight?
Reports indicate that Israel has targeted senior Iranian military and nuclear development figures, alongside striking nuclear enrichment sites across Iran in at least five separate operations.
Israeli Prime Minister Benjamin Netanyahu has made statements asserting that Iran was developing nuclear weapons and posed an imminent threat. Further developments are anticipated following these major headlines.
It’s important to note that the initial market spikes have seen a slight retracement since the attacks commenced approximately five hours ago.
Current Action Showing Overnight Market Swings
Oil Touches 76.25, Currently Trading $3 Lower
Source: TradingView
S&P 500 broke 6,000
Source: TradingView
Gold Trading Less Than 2.3% From Its Record Highs
Source: TradingView
Dollar Index Reversed Sharply Forming Double Bottom, Trading Close to 98.5
Watch your orders, trade safely, and stay in touch with the latest headlines.
Watch for the market’s interpretation of these moves and potential de-escalation before fading anything.