Oil prices surge after US kill Iran general Qassem Soleimani but Wall Street stocks stutter
Oil prices surged as much as $3 per barrel on Friday as it and other safe havens such as gold all rallied following the US airstrike which killed Iran’s top military commander, General Qassem Soleimani.
While the attack on the head of the elite Quds Force and promise of revenge from Iran left traders concerned, oil markets gained.
Brent crude leapt by as much as 4.5 per cent to $69.20 per barrel before ending the session $2.35 higher at $68.60.
Read more: European stocks falter after US kills top Iranian general in Baghdad
WTI crude rose by $1.87 to settle at $63.05 after rising to its highest level since April 2019 at $64.09.
In September last year, the US blamed Iran for attacking Saudi Aramco, the state energy giant and world’s largest oil exporter.
It saw Brent surge by 14.6 per cent, its biggest one-day percentage gain since 1988.
Trump’s administration did not respond after Iran denied all wrongdoing.
Speaking on Friday, US secretary of state Mike Pompeo said Friday’s airstrike aimed to disrupt an “imminent attack” that would have endangered Americans in the Middle East.
The US government and others also urged their citizens in the region either to return home or to stay away from potential targets and public gatherings.
Iranian President Hassan Rouhani said the killing would stiffen Iran’s resistance to the United States and promised to enact revenge.
Read more: World leaders call for restraint as Iran promises revenge for killing
Stocks on Wall Street opened down 1 per cent but parred some losses to finish the day 0.8 per cent lower as New Year optimism evaporated.
The Dow Jones index fell 233.92 points, or 0.81 per cent, to 28,634.88, while the S&P 500 lost 23 points, or 0.71 per cent, to finish at 3,234.85.
The Nasdaq dropped 71.42 points, or 0.79 per cent, to 9,020.77.