Oil edges up as US-Iran attacks unsettle markets

Global markets traded unevenly on Thursday after fresh attacks between Iran and the United States, with oil prices rising modestly and risk sentiment tilting toward energy. Data showed European and Asian markets moved in varied directions during early trading. The company reported PepsiCo posted stronger overall revenue but weaker North American demand, and its shares declined following the update.

New US-Iran attacks

Data showed oil markets led the reaction while credit and currency moves were more muted; market participants cited uncertainty about whether the exchanges would escalate into wider disruption of shipping lanes or supply. The company reported earnings results that undershot regional volume expectations even as aggregate sales grew, weighing on consumer-staples sentiment.

Investors are watching whether geopolitical friction persists or cools; either path would alter risk-on flows across equities and commodities. Officials said economic calendars and any additional military developments will determine how sustained the market response becomes.

Traders will monitor developments through July 10, 2026, for signs of escalation or de-escalation that could shift oil, equity and credit prices.

Officials said the exchange of strikes this week has strained a fragile regional truce and pushed some investors into safe-haven and energy assets. Traders priced in a modest risk premium for crude, contributing to the uptick in oil.