U.S. Strikes Iran: Oil Prices Spike in After-Hours Trade
Oil closed lower Friday for a third weekly loss, then reversed sharply after the U.S. military confirmed a retaliatory strike on Iran.
Oil had a rough week — three straight weekly losses heading into Friday's close. Prices settled in the red, and it looked like bears were firmly in control. Then the after-hours session flipped the script entirely.
The U.S. military confirmed a retaliatory strike on Iran after the close, and crude futures woke up fast. That's the kind of geopolitical headline that cuts through the noise. Any escalation in the Middle East puts supply routes, production, and risk premiums back on the table in a hurry.
Read more OpenAI IPO Odds: Traders Bet on 2027 Over 2026 →
Here's the tradeable reality: oil had been grinding lower, likely pricing out some of the geopolitical risk premium that built up over prior weeks. Friday's after-hours move is the market snapping back to attention. If tensions escalate further, that premium gets rebuilt — fast. If this stays contained, expect the selloff trend to resume.
Watch the Sunday night open closely. The gap between Friday's settlement and where futures open Sunday will tell you everything about how institutional traders sized up the overnight headlines. Volatility is back on the table for energy names, defense stocks, and anything with Middle East exposure.
Continue reading at MarketWatch.com
