35 on Monday, following fresh strikes in the Middle East. Markets initially spiked more than 12% when US trading opened after Saudi Aramco halted operations at its Ras Tanura refinery due to a drone attack. This isn’t the first time the region has shaken global energy markets.

Previous incidents, like the 2019 attacks on Saudi facilities and tanker strikes in the Gulf, triggered similar price spikes, supply concerns, and stock market volatility. The Strait of Hormuz remains a key chokepoint, with about 20% of global LNG trade passing through it. Investors are seeing the impact clearly. Defense stocks like Lockheed Martin and RTX rose, as did oil giants ExxonMobil and Chevron. Travel and consumer sectors, including airlines, hotels, and cruises, fell. Precious metals gained, with gold up 2% to $5,352 per troy ounce, while silver also rose. Bitcoin and other cryptocurrencies initially dipped but later recovered. Economists warn that sustained energy shocks could fuel inflation and disrupt global growth, but the broader market impact is currently contained.

This shows how geopolitical tensions can send shockwaves across markets, consumers, and investors, testing the balance between risk and opportunity.