While oil markets had been showing fear of a possible retaliatory attack from Iran, the missile attack on U.S. bases actually elicited a positive response.
Iran issued a very limited and almost symbolic response when it fired 11 missiles against bases in Qatar and Iraq on Monday. No one was hurt, and some reports say Iran informed Qatar ahead of time.
‘The market is pricing in a scenario where things de-escalate gradually.’
Crude oil markets had ramped up their futures prices after tensions escalated in the Middle East and put oil trade at risk, but after seeing the scale of the response from Iran, markets responded positively and futures prices dropped.
U.S. crude oil dropped by 4.1%, and Brent crude oil prices — a global benchmark — fell by
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