Stocks sink, oil surges on reports of Middle East attacks

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TOKYO : Asian shares and bond yields sank on Friday while the dollar, yen, oil and gold surged after reports of a sharp escalation in Middle East hostilities.MSCI's broadest index of Asia-Pacific shares dived more than 2 per cent and U.S. stock futures also pointed 1.

A panel displays the Hang Seng Index during afternoon trading, in Hong Kong, China May 4, 2020. REUTERS/Tyrone Siu/File photoTOKYO : Asian shares and bond yields sank on Friday while the dollar, yen, oil and gold surged after reports of a sharp escalation in Middle East hostilities.

MSCI's broadest index of Asia-Pacific shares dived more than 2 per cent and U.S. stock futures also pointed 1.3 per cent lower following media reports Israeli missiles had hit a site in Iran. U.S. long-term Treasury yields dropped as much as 13.5 basis points to 4.512 per cent. The U.S. dollar index was last up 0.14 per cent, while the yen gained about 0.4 per cent versus the dollar. Both currencies are considered safe havens."Market response looks tied to fears that this is an Israeli reprisal," said Kyle Rodda, an analyst at Capital.com.Oil prices jumped $3 a barrel as the reports heightened concerns that Middle East supply could be disrupted.

Israeli Prime Minister Benjamin Netanyahu had vowed retaliation earlier this week following a volley of attacks from Iran on the weekend. We know it's a hassle to switch browsers but we want your experience with CNA to be fast, secure and the best it can possibly be.

 

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