Investors are avoiding risky assets, like stocks, while waiting to “understand if the conflict” between Israel and Irancould extend to the entire Middle East”explains Jim Reid, economist at Deutsche Bank.
Israel has threatened to retaliate for Iran’s launch of some 200 missiles towards its territory on Tuesday to avenge the deaths of the leaders of Lebanese Hezbollah and Palestinian Hamas, with Tehran responding that it will strike “all infrastructure” Israeli forces if attacked.
Israel-Hamas war: attack in a tram station in Tel Aviv, the death toll rises to seven
Oil prices benefited from the resurgence of geopolitical tensions in the region. The price of a barrel of North Sea Brent climbed 3.20% to 75.92 dollars around 11:40 a.m. and the barrel of American West Texas Intermediate (WTI) took 3.52% to 72.29 dollars.
“Investors are concerned about potential supply disruptions in the region. This has sent shares of BP and Shell higher” and other oil stocks, comments Russ Mould, analyst at AJ Bell.
Investors learned early in the afternoon that private sector companies in the United States had created 143,000 jobs in September, more than expected, according to the monthly ADP/Stanford Lab survey.
Nike perd pied
The American sports clothing and equipment group Nike, in the midst of a change of direction, announced on Tuesday declining results in the first quarter of its staggered financial year, greater than or equal to consensus expectations.
The group lost 7.80% in the first exchanges.
The stable dollar
The dollar changed little (-0.03%) compared to theeuro, at 1.1072 euros, in a wait-and-see foreign exchange market, investors weighing the risk that a large-scale Iranian attack on Israeli territory poses for a further widening of the conflict in the Middle East.
The bitcoin advanced 0.90% to $61,334.16.
