Oil prices continued to rise on Monday as Israel and Iran engaged in missile strikes for a fourth consecutive day, with alarming threats of further attacks, heightening concerns about a prolonged conflict that could reignite inflation.
Gold prices also climbed back toward a historic peak due to a surge in demand for safe assets, while stock markets showed mixed results amid optimism that the conflict would not escalate across the Middle East.
Investors were preparing for crucial central bank meetings this week, particularly focused on the US Federal Reserve and the Bank of Japan, along with discussions with Washington about averting Donald Trumps exorbitant tariffs.
Israels unexpected attack on Iranian military and nuclear facilities on Friday, resulting in the deaths of high-ranking commanders and scientists, caused crude oil prices to spike by as much as 13 per cent at one point, fueled by fears of supply disruptions in the region.
Tokyo finished up 1.3 per cent, supported by a declining yen. Hong Kong bounced back from initial losses, and Shanghai, Seoul, Singapore, and Wellington also saw gains.