Global Markets Mostly Fall; Oil Price Rise on Fresh Iran, Israel Attacks

By Dow Jones Newswires StaffOil prices headed higher again Tuesday as Iran and Israel launched fresh attacks against each other.The latest strikes came after President Trump left the Group of Seven summit early to deal with the crisis and after social-media posts in which Trump urged an immediate evacuation of Tehran. Investors retreated from risky assets--U.S. stock futures fell and Treasury yields eased.Brent crude and WTI were both up 1.3% at $74.20 a barrel and $72.70 a barrel respectively, amid concerns about supply via the Persian Gulf's Strait of Hormuz--a key energy shipping route where disruption could put millions of barrels of crude a day at risk. European benchmark natural gas was last up 2.2%.U.S. futures for the S&P 500 and Nasdaq were down 0.6% and futures for the Dow Jones Industrial Average declined 0.7%. Stocks in Asia ended mixed. Japan's Nikkei 225 index gained 0.6% after the Bank of Japan left interest rates unchanged as expected, South Korea's Kospi closed up 0.1%, whereas Hong Kong's Hang Seng fell 0.7%. China's benchmark Shanghai Composite held steady.Early in Europe, the Stoxx Europe 600 dropped 0.9%, the U.K.'s FTSE 100 lost 0.6%, France's CAC 40 fell 0.9% and Germany's DAX fell 1.2%.The dollar edged higher, in part driven by higher oil prices. The DXY dollar index was recently up 0.1% to 98.099 against a basket of major currencies. U.S. Treasury yields declined early in Europe, reversing Monday's rise, amid deteriorating risk sentiment. The two-year Treasury yield fell one basis point to 3.957%, while the 10-year Treasury yield eased 1.5 basis points to 4.439%, according to Tradeweb.Japan's bond yields rose after the Bank of Japan reduced its monthly buying amounts for the third quarter. The two-year yield was up 0.5 basis points earlier, the five-year yield rose 2 basis points and the 10-year yield was 2.5 basis points higher.Bitcoin fell, another sign of shaken investor sentiment. It was down 1.8% to $106,903, according to LSEG.Gold futures edged down 0.2% to $3,409.70 a troy ounce but remain up 1.6% in the week to date.Write to Barcelona Editors at [email protected]