On Monday, oil and gas prices experienced significant increases, with Brent crude oil jumping nearly 14% and West Texas Intermediate rising about 12%. This spike in energy prices was triggered by tensions following U.S. and Israeli military actions against Iran, including an attack that led to the death of Iran's Supreme Leader Ali Khamenei and other high-ranking officials. Investors reacted negatively, leading to sharp declines in stock markets, particularly affecting the airline and tourism sectors.

The geopolitical conflict poses a critical risk to maritime transportation in the Strait of Hormuz, a vital passage for global oil supply, through which approximately 20% of the world's oil flows. The events have raised concerns about potential disruptions in oil supply routes, leading to heightened market volatility. The region's instability is reflected in the increased risk premium applied to oil prices, as traders anticipate further escalations and their impact on global energy markets.

As the situation develops with increasing tensions between major powers, financial markets are likely to remain jittery, influencing investor sentiment and potential responses from governments. Analysts suggest that prolonged conflict could exacerbate existing economic challenges across different sectors, highlighting the interconnected nature of geopolitical events and global energy prices.