Middle East Tensions Fuel Oil Price Surge Amid Global Market Volatility

Oil prices surged as prospects for peace in the Middle East dimmed, reviving concerns that prolonged geopolitical tensions may threaten supplies and keep energy costs elevated. The global benchmark Brent edged higher to $91.15 a barrel after President Donald Trump said he wasn't interested in extending the expiring agreement with Iran.

Concurrently, US Treasury yields climbed to their highest levels in years, revealing investor anxiety over increased government expenditure. The 30-year Treasury yield rose to its highest since 2007 during the US session, reflecting investor angst over surging government spending and inflation that's been stuck above the Federal Reserve's target for the past five years.

Asian markets showed positive movement, particularly in the tech sector, as chipmakers benefited from growing AI optimism. Shares in South Korea climbed 1.9% after traders returned from a holiday on Monday. The MSCI Asia Pacific Index rose 0.3%.