Oil holds above $100, Wall Street futures rebound

Oil prices remained elevated above USD 100 a barrel on Tuesday while Wall Street futures rebounded, even as tensions between the US and Iran intensified in the fifth week of the conflict. Futures for the S&P 500 and Dow Jones Industrial Average rose 0.9 per cent, while Nasdaq futures gained 0.8 per cent ahead of market opening.

The gains came despite fresh military escalation, with US strikes hitting a city housing a major Iranian nuclear site and Tehran targeting a fully loaded Ku-waiti oil tanker in the Persian Gulf. Brent crude hovered at USD 107.56 per barrel, while US crude rose to USD 103.71. Brent prices have surged more than 40 per cent in March.

Concerns remain centred on the Strait of Hormuz, a key chokepoint through which about a fifth of global oil supply passes. European markets traded higher, with the FTSE 100 up 0.9 per cent, CAC 40 rising 0.5 per cent and DAX gaining 0.6 per cent.

Asian markets were mixed, with Japan’s Nikkei falling 1.6 per cent and South Korea’s Kospi dropping 4.3 per cent. Gold and silver prices advanced, reflecting continued investor caution.