Israel Strikes Iran, Oil Surges and Markets Fall

Oil prices surged by up to 13% after Israel launched airstrikes on Iranian nuclear and military sites, stoking fears of a broader Middle East conflict and potential disruptions to crude and gas flows through the Strait of Hormuz. This price spike led to sharp declines across global stock indices, including the S&P 500, Dow Jones, Nasdaq, and Japan's Nikkei 225, as investors shifted to safe havens such as gold and bonds. Upstream oil producers like ONGC and Oil India saw share gains, while industries dependent on oil, including aviation and tyre manufacturing, experienced declines due to concerns over rising costs. Analysts warned that prolonged conflict or further escalation could significantly raise oil prices and threaten global economic stability. The U.S. has withdrawn some diplomatic personnel from the Middle East in response to the heightened risk environment. Market sentiment remains fragile as geopolitical tensions and supply chain uncertainties persist.