Oil prices rose by more than $2 a barrel after falling sharply the previous day.
WASHINGTON — World stock markets fell on Thursday after the U.S. military said it would launch more defensive strikes against Iran.
Oil prices rose by more than $2 a barrel after falling sharply the previous day.
In early European trading, Germany’s DAX index was basically unchanged at 25,175.63 points, and Paris’s CAC 40 index fell 0.4% to 8,172.84 points. Britain’s FTSE 100 fell 0.9% to 10,416.62 points.
S&P 500 and Dow Jones Industrial Average futures edged down 0.1%.
U.S. officials said Central Command forces shot down four Iranian unidirectional attack drones that posed a threat near the Strait of Hormuz. The U.S. military also attacked an Iranian ground control station in Bandar Abbas Port that was preparing to launch a fifth drone. The attacks follow others earlier this week.
Meanwhile, President Donald Trump claimed Iran was engaging in “smoke negotiations” and said the U.S. midterm elections in November would not allow him to rush a deal to end the nearly three-month-old conflict.
During the Asian trading session, Japan’s Nikkei 225 Index fell 0.5% to 64,693.12 points; South Korea’s Kospi fell 0.5% to 8,185.29 points.
Hong Kong’s Hang Seng Index fell 1.3% to 25,006.16 points; the Shanghai Composite Index edged up 0.1% to 4,098.64 points.
In Australia, the S&P/ASX 200 index fell 1.4% to 8,592.90 points, while Taiwan stocks fell 1.4%.
“Conflicting reports on the contours of a U.S.-Iran deal have weakened risk sentiment as markets grow increasingly cautious about the likelihood of a deal,” Tan Boon Heng of Mizuho Bank in Singapore said in commentary.
“While there is hope that the ceasefire with Iran and the United States will remain, and that the rhetoric on new attacks will be reduced and that indirect communication channels will be used, it is still difficult to imagine how to reach compromise on key issues,” he said.
Oil prices fell more than 4% on Wednesday and U.S. stocks edged to a record high, easing pressure on consumers and businesses around the world.
The S&P 500 edged up less than 0.1% to 7,520.36 points; the Dow Jones Industrial Average rose 0.4% to 50,644.28 points. The Nasdaq Composite rose 0.1% to 26,674.73. All three indexes hit record highs.
Shares of companies with high fuel bills helped lead gains as lower oil prices would remove a huge drag on their profits. Norwegian Cruise Line Holdings rose 6.1% and United Airlines gained 6.3%. Delta Air Lines shares rose 3% to hit a record high.
The price of a barrel of Brent crude oil fell 4.6% to $92.25 as the ceasefire between the United States and Iran appeared to remain in effect despite the so-called “military action” launched by the U.S. military. “Self-defense” attack In southern Iran.
However, Brent crude oil prices rose $2.14 to $94.44 a barrel in early trade on Thursday following the latest strike.
Benchmark U.S. crude oil rose $2.12 to $90.80 a barrel. On Wednesday, the stock fell 5.5% to close at $88.68, back to mid-April levels.
Oil prices have slowed after surging above $100 a barrel as the United States and Iran hope A deal can be reached to reopen the Strait of Hormuz and allowing tankers to once again leave the Persian Gulf to make deliveries.
Stocks still set new records though painful inflation The uncertainty surrounding high oil prices is largely due to companies reporting unexpectedly strong profits for early 2026, which are expected to continue.
In other trading early Thursday, USD/JPY rose to 159.50 yen from 159.51 yen. The euro fell to $1.1611 from $1.1626.
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