Anna Hirtenstein, WSJ
Energhiesnet.com 10 09 2023
Oct. 9, 2023 at 8:42 AM EDT
Stock futures declined and haven assets gained after the worst attack on Israel in decades sent jitters through global markets.
Benchmark oil and gas prices jumped, driven by concerns that the conflict could spill over into the broader Middle East region. The Wall Street Journal reported that Iran helped Hamas plot the attack.
In recent market action:
Stock-index futures fell. Contracts linked to the S&P 500, the Nasdaq-100 and the Dow slipped 0.5% or more. Defense and oil stocks jumped in premarket trading.
Haven assets including the dollar and gold gained. The WSJ Dollar Index rose 0.3% and bullion added 1%.
Israeli markets came under pressure, with the shekel weakening to its lowest level against the dollar since 2016. Israeli bonds sold off and the Tel Aviv 35 plunged 6.5% Sunday and extended the decline Monday.
Wall Street’s “fear gauge” gained. The VIX index, a measure of expected stock-market volatility, surged as much as 10%.
Oil and gas prices rallied. The most actively traded contract for Brent crude rose more than 3% and a European benchmark for natural gas jumped more than 12%. Israel has an offshore gas field under development to export to Europe.
The safest European bonds rallied. The yields on the benchmark 10-year German and U.K. bonds declined.
The U.S. bond market was closed for the Columbus Day holiday.
—By Anna Hirtenstein
WSJ.com Last Updated: Oct. 9, 2023 at 8:42 AM EDT