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Stocks sink, oil jumps following Israel's attack on Iran

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Turkey,Middle East,Africa

Asian markets respond to reported Israeli attack on Iran with shares tumbling and safe-haven assets surging.

The scope of the market moves were mitigated somewhat as details emerged the Israeli attack was limited and Iranian officials denied any missiles were launched against it. / Photo: AP Archive

MSCI's broadest index of Asia-Pacific shares dropped 2% after earlier diving as much as 2.6%, and US stock futures pointed 1% lower, retracing part of an initial 1.7% slide. "The lack of clarity on...what Iran might do next will keep investors nervous and market volatile for now, at a time when investors are faced with significant inflation and interest rate uncertainties as well," said Vasu Menon, managing director of investment strategy at OCBC.

Israeli Prime Minister Benjamin Netanyahu had vowed retaliation earlier this week after Iran launched hundreds of drones and missiles in an unprecedented direct attack on Israel on April 13.

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