US stocks rebounded Monday after the US attack on Iran rattled global markets, with investors parsing the winners and losers of the Middle East conflict.
Defense and energy stocks in New York rose while shares in travel companies plunged. “We remain in a bull market despite escalating geopolitical tensions,” one investment executive said. The US-Iran-Israel war is the latest test of the widely held notion that markets largely shake off global conflicts.
Still, some signs of strain emerged beyond stocks: Ten-year bond yields rose on fears that rising oil prices could stoke inflation, and gold jumped. Outside the energy sector, prices for fertilizer and aluminum — both significant Gulf exports — could also surge due to shipping disruptions.
