Oil prices surged nearly 4% and US stock futures fell sharply Thursday evening amid reports of explosions in Iran.
In recent trading, US oil prices climbed 3.7% to $85.80 a barrel. Brent crude, the world benchmark, gained 3.4% to $90.13 a barrel.
Energy prices moved sharply higher as Iranian news agencies reported explosions heard near Iran’s Isfahan Airport.
The developments drove US stock futures steadily lower, with Dow futures down 480 points, or 1.3%. Nasdaq futures lost almost 2%.
“Israel’s response could determine whether oil supplies are ultimately under threat.”
Gold futures were up 1% at $2,422.4 per ounce in morning Asian trade with investors piling into safe-haven investments.
But stock markets in Asia sank as appetite for risk weakened, according to analysts.
Japan’s Nikkei 225 slid 3.5%. South Korea’s Kospi lost 3%. Hong Kong’s Hang Seng Index fell 1.5%. China’s Shanghai Composite inched down 0.1%.
This post has been updated with more information.