Oil prices jump after Trump's warning, stocks extend gains
Donald Trump left the G7 summit early, saying he had to deal with the crisis in the Middle East
Hopes that the deadly conflict can be contained helped most equities rise, while the US president's earlier claim that the Islamic republic wanted to make a nuclear deal also provided a little optimism.
After Friday's surge sparked by Israel's attacks on its regional foe, crude ticked more than one percent lower Monday as traders bet that the battle would not spread throughout the Middle East and key oil sites were mostly left untouched.
But prices edged back up after Trump took to social media calling for the evacuation of the Iranian capital, which is home to nearly 10 million people.
"Iran should have signed the 'deal' I told them to sign," he said, referring to nuclear talks that were taking place.
"What a shame, and waste of human life. Simply stated, IRAN CAN NOT HAVE A NUCLEAR WEAPON. I said it over and over again! Everyone should immediately evacuate Tehran!"
Oil prices spiked around two percent Tuesday before paring some of those gains, but the comments kept investors on edge amid warnings that an escalation of the crisis could send the commodity soaring again.
Meanwhile, the aircraft carrier USS Nimitz left Southeast Asia on Monday after cancelling a Vietnam visit, with the Pentagon announcing it was sending "additional capabilities" to the Middle East.
Prime Minister Benjamin Netanyahu insisted Israel's campaign was "changing the face of the Middle East".
Trump has maintained that Washington has "nothing to do" with its ally's campaign, but Iran's foreign minister said Monday that the US leader could halt the attacks with "one phone call".
Traders had been a little more upbeat after the US president -- who is in Canada for the G7 summit -- had said Iran wanted to make a deal, saying "as soon as I leave here, we're going to be doing something".
He later left the gathering in the Rockies, telling reporters: "I have to be back as soon as I can. I wish I could stay for tomorrow, but they understand, this is big stuff."
Tehran had signalled a desire to de-escalate and resume nuclear talks with Washington as the United States did not join conflict, according to the Wall Street Journal.
Stocks mostly rose in Asian trade, with Tokyo, Sydney, Seoul, Singapore and Taipei leading gains, though Shanghai and Hong Kong struggled.
"Risk assets are enjoying a positive start to the new week amid signs the Israel-Iran war remains limited to the two countries without signs of a possible escalation into a wider conflict," said Rodrigo Catril at National Australia Bank.
"Iran is reportedly seeking de-escalation talks, but Israel is not showing signs of slowing down."
The gains followed a positive lead from Wall Street, where traders are keeping tabs on the G7 summit world leaders pushed back against Trump's trade war, arguing it posed a risk to global economic stability.
Leaders from Britain, Canada, Italy, Japan, Germany and France called on the president to reverse course on his plans to impose even steeper tariffs on countries across the globe next month.
Also in view are central bank decisions this week, with the Bank of Japan due to make its latest decision on interest rates later in the day.
Officials are expected to hold interest rates steady but tweak their bond purchase policy.
Key figures at around 0230 GMT
West Texas Intermediate: UP 1.6 percent at $72.94 per barrel
Brent North Sea Crude: UP 1.4 percent at $74.25 per barrel
Tokyo - Nikkei 225: UP 0.5 percent at 38,501.08 (break)
Hong Kong - Hang Seng Index: DOWN 0.1 percent at 24,038.68
Shanghai - Composite: DOWN 0.1 percent at 3,385.61
Euro/dollar: DOWN at $1.1552 from $1.1562 on Monday
Pound/dollar: DOWN at $1.3569 from $1.3579
Dollar/yen: UP at 144.92 yen from 144.79 yen
Euro/pound: UP at 85.14 pence from 85.12 pence
New York - Dow: UP 0.8 percent at 42,515.09 (close)
London - FTSE 100: UP 0.3 percent at 8,875.22 (close)
© 2025 AFP
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
AFP
34 minutes ago
- AFP
Clip from Florida misrepresented as 'woman caught in Los Angeles protests'
"The situation in America is bad right now. This video is from Los Angeles, America," reads part of a Hindi-language Facebook post published on June 10, 2025. "A mother with young children in her car was stuck -- and she was screaming, pleading to be released..." the caption continues. The woman can be heard screaming, "there's a baby in the car!" as the surrounding crowd howls. Image Screenshot of the false post, taken on June 12, 2025 Protests in Los Angeles broke out on June 6 following dozens of arrests of what authorities said were illegal migrants and gang members. Demonstrators took over streets in downtown LA, torching cars and looting stores, while law enforcement responded with tear gas and rubber bullets (archived link). US President Donald Trump deployed the National Guard and active-duty Marines into the city in response to the unrest, drawing criticism from state leaders (archived link). The clip also spread on Facebook, X and Instagram with the false claim. But a reverse image search using keyframes found a clip showing a similar scene was posted on Instagram on December 10, 2024 (archived link). Its caption contains hashtags that indicate it shows a street takeover -- impromptu events where drivers take turns doing doughnuts in intersections (archived link). Image Screenshot comparison of the falsely shared video (L) and the Instagram clip Further searches reveal the Orange County Sheriff's Office in Florida published a video showing the same scene on its Facebook page on December 13, 2024 (archived link). The post appealed for information on a group of drivers who shut down a highway intersection to do doughnuts in their cars. "The situation escalated as participants harassed innocent drivers, blocked them from passing, and in some cases, climbed on and damaged vehicles," it goes on to say. Media outlets, including The Mirror US and Fox News, also used the clip in their reports about the incident (archived here and here). In another post on X, the Orange County Sheriff's Office said that the incident occurred at an intersection in South John Young Parkway and Central Florida Parkway (archived link). Google Street View imagery of the intersection shows that the false video was filmed in the area (archived link). Image Screenshot comparison of the falsely shared video (L) and Google Street View imagery of the area with similarity highlighted by AFP Read more of AFP's reporting on misinformation related to the LA protests here.
France 24
an hour ago
- France 24
Russian strikes kill 14 in 'horrific' attack on Kyiv
Zelensky said "an entire section of an apartment block" was destroyed and rescuers were searching under the rubble for possible survivors. AFP journalists heard drones flying over the city and explosions ringing out as Ukrainian air defence systems opened fire during the Russian barrage. Dozens of Kyiv residents were taking shelter in a metro station in central Kyiv, sleeping on mats, exchanging information on the drone and missile threat or reassuring pets, AFP journalists reported. Some 27 locations in Kyiv were hit, Interior Minister Igor Klymenko said. One person was also killed and 10 wounded in a strike on Odesa, with Zelensky saying that a total of 440 drones and 32 missiles were used in the strikes nationwide. "Kyiv has faced one of the most horrific attacks," Zelensky wrote on Facebook. "Right now in Kyiv, efforts are underway to rescue people from under the rubble of an ordinary residential building -- it's still unclear how many remain trapped," he said. He urged the international community not to "turn a blind eye". Russian President Vladimir "Putin does this solely because he can afford to continue the war. He wants the war to go on," he said. Zelensky's chief of staff, Andriy Yermak, said in a social media post: "This is how Russia fights -- it kills civilians in ordinary homes, deliberately." US citizen dead Interior Minister Igor Klymenko wrote on Telegram: "27 locations in different districts of the capital came under enemy fire tonight". He added that "residential buildings, educational institutions and critical infrastructure facilities" had all been hit. "The death toll has risen to 14 people. As of now, 44 people have been injured in Kyiv," Klymenko said. He added that six others had been injured in Odesa and another in Chernigiv. Kyiv Mayor Vitali Klitschko had earlier reported the death of a US citizen in a Russian attack on the capital's Solomyansky district. "During the attack on Kyiv... a 62-year-old US citizen died in a house opposite to the place where medics were providing assistance to the injured," Klitschko said on Telegram. Yermak slammed the new Russian strikes on "residential buildings in Kyiv", saying on Telegram that Moscow was "continuing its war against civilians". More than three years into its full-scale invasion of Ukraine, Moscow has kept up its attacks despite efforts by the United States to broker a ceasefire. Talks have stalled. Moscow has rejected the "unconditional" truce demanded by Kyiv and its European allies, while Ukraine has dismissed Russia's demands as "ultimatums". On Monday, Zelensky had said he hoped to speak with his US counterpart Donald Trump on the sidelines of the G7 summit in Canada. But the Ukrainian leader was expected to arrive at the G7 after the departure of the American president, who cut short his stay in the Canadian Rockies as Israel pounded Iran.
France 24
2 hours ago
- France 24
Trump says early G7 exit ‘nothing to do' with Macron's remarks on Israel-Iran ceasefire offer
Donald Trump said late on Monday his early departure from the Group of Seven nations summit has 'nothing to do with' working on a ceasefire between Israel and Iran, refuting comments by French President Emmanuel Macron who said the US president made a ceasefire proposal. Macron 'mistakenly said that I left the G7 Summit, in Canada, to go back to DC to work on a 'cease fire' between Israel and Iran,' Trump wrote on his Truth Social platform as he left the G7 summit in Canada to return to Washington. 'Wrong! He has no idea why I am now on my way to Washington, but it certainly has nothing to do with a Cease Fire. Much bigger than that,' Trump added in the post. Macron said earlier on Monday Trump had made an offer for a ceasefire between Israel and Iran. 'There is indeed an offer to meet and exchange. An offer was made especially to get a ceasefire and to then kick-start broader discussions,' Macron told reporters at the G7. Trump left the G7 summit in Canada early to return to Washington due to the Middle East situation. The air war between Iran and US ally Israel - which began on Friday when Israel attacked Iran with air strikes - has raised alarms in a region that had already been on edge since the start of Israel's military assault on Gaza in October 2023. Since the Israeli strikes on Friday, the two Middle Eastern rivals have exchanged blows, with Iranian officials reporting over 220 deaths, mostly civilians, while Israel said 24 civilians were killed. Israel, the US and other Western nations have long sought to pressure Iran to curb its nuclear weapons development. Tehran denies seeking nuclear weapons and has said it has the right to develop nuclear technology for peaceful purposes, including enrichment, as a party to the Nuclear Non-Proliferation Treaty. Israel, which is not a party to the NPT, is the only country in the Middle East widely believed to have nuclear weapons. Washington said Trump was still aiming for a nuclear deal with Iran.
