By Our Correspondent
National News – Global financial markets came under pressure on Monday as crude oil prices surged and stocks declined amid escalating tensions in the widening Middle East conflict involving Houthi movement, Iran, Israel and the United States.
Investors reacted nervously after Yemeni Houthi rebels launched cruise missiles and drone attacks on strategic Israeli targets over the weekend, raising fears that the ongoing war could spread further across the region.
The attacks occurred during the fifth week of the conflict and signaled a dangerous expansion of hostilities.
The Houthis announced on Saturday that they had fired multiple missiles and drones toward Israel, a development that heightened concerns about disruptions in the Red Sea shipping lanes and the broader global energy supply chain.
The escalation pushed global oil prices sharply higher. Benchmark Brent crude oil climbed above $116 per barrel while West Texas Intermediate crude oil rose past $101 per barrel.
Analysts say the surge reflects fears that Iran could further restrict energy exports through the strategically vital Strait of Hormuz, a waterway responsible for transporting roughly 20 percent of the world’s oil and gas supplies.
Compounding market anxieties, Donald Trump suggested the possibility of military operations targeting Kharg Island, Iran’s key oil export terminal.
Speaking to the Financial Times, the U.S. president indicated that American forces had several options regarding the strategic facility, including a potential seizure that could involve ground operations.
Meanwhile, Iranian officials warned that Washington may be secretly planning a larger military offensive.
Mohammad Bagher Ghalibaf, speaker of Iran’s parliament, accused the United States of preparing for a ground attack, further intensifying geopolitical tensions.
The conflict has rattled global financial markets. Major Asian stock exchanges including those in Tokyo, Seoul and Hong Kong posted significant declines as investors feared higher inflation, supply shortages and slower global economic growth.
Experts also warned that the Houthis could disrupt commercial shipping through the critical Bab al‑Mandeb Strait, a narrow maritime corridor between Yemen and the Horn of Africa that handles roughly 12 percent of global trade.
With diplomatic efforts ongoing and mediation offers emerging from Pakistan, analysts say the trajectory of the war — and its impact on global markets — will depend on whether the United States and Iran shift toward negotiations or further escalation in the coming weeks.
