The global market has been rocked by a sudden surge in oil prices and a downturn in stocks and bonds, following a statement from former US President Donald Trump. In a tweet, Trump claimed that his peace deal with Iran was 'over', sending shockwaves through the financial markets.
Oil prices have risen to nearly $80 a barrel, while stocks and bonds have sold off. The price of Brent crude oil reached $79.99 per barrel yesterday, a significant increase from recent levels. The sharp rise in oil prices has been attributed to concerns over a potential disruption to global oil supplies.
The impact of Trump's statement has been felt across the globe, with the FTSE 100 index experiencing a significant downturn. The UK's leading stock market index fell by 1.5% in early trading, with many major companies seeing their shares decline in value.
The UK Government has yet to comment on the market volatility, but the Foreign Office has advised British nationals to exercise caution when travelling to countries that may be affected by the situation.
In a statement, the US Department of State said it was 'monitoring the situation closely' and would provide updates as necessary. The International Energy Agency (IEA) has also warned of potential disruption to global oil supplies, citing the Iran situation as a major concern.
As the situation continues to unfold, markets are likely to remain volatile, with investors watching closely for any further developments. The UK's Chancellor of the Exchequer will likely be under pressure to provide reassurance to businesses and investors in the coming days.