Rather, it is geopolitical factors—specifically, escalating tensions in the Middle East—that are unsettling markets and pushing prices higher.

Geopolitics and the surge in the oil price are dominating markets on Friday. Brent and WTI crude oil are higher by 7% and 6% respectively, after Israel launched airstrikes on Iran. Brent is now trading at $74 per barrel,

Crude jumps on Middle East tensions. Oil stocks like CIVI, APA and FANG rally on supply fears and rising risk premiums.

U.S. stock indexes climbed and oil fell from last week's highs on Monday after conflict between Israel and Iran left crude production and exports unaffected, while investors stayed braced for a week packed with central bank meetings.

The stock market opens a shortened trading week under the shadow of escalating Middle East tensions following Israel's attack on Iran's nuclear, missile and military complex early Friday. Oil prices soared and stocks sank Friday after Israel launched strikes on nuclear and military sites in Iran,

This week, the Canadian Dollar (CAD) could experience considerable volatility. Two major events are in the spotlight: the next decision by the US Federal Reserve (Fed) on Wednesday evening, and the surge in Oil prices fueled by tensions in the Middle East.

Sir Keir Starmer has warned that this week’s explosive developments in the Middle East will deal a blow to the cost of living for ordinary Britons. Speaking ahead of his arrival in Canada for the G7, the Prime Minister voters will be seeing “the impact already on the economy and on oil prices.”