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Oil prices surge as U.S.-Iran tensions jolt markets

financeSep 2, 2026371,481

Crude oil rose about 2 percent after renewed tensions between the United States and Iran, pushing Asian stock markets mostly lower. Global bonds extended a rout that is raising borrowing costs to multi-decade highs as higher energy prices feed inflation concerns. Investors moved to a more cautious stance amid the heightened geopolitical risk, which analysts say could create longer-term economic challenges for energy-importing Asian economies. In India, the 10-year bond yield climbed to about 7 percent, near a three-month high, reflecting the broader sell-off in fixed income and worries about rising inflation.

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