Oil markets defied all expectations Monday, crashing more than 7% to $68 a barrel even as Iran launched a barrage of missiles at U.S. military installations in Qatar in retaliation for American strikes on Iranian nuclear facilities over the weekend.
Instead of triggering a surge in crude prices, typical of an escalating Middle East conflict, the attack seemed to confirm what markets have already priced in: this was a symbolic, controlled response, not the start of a full-blown war.
Iran Strikes US Bases, But Oil Plunges As Markets Shrug Off Threat
On Monday at around 1:00 p.m. ET, Iran’s military declared the missile launches under the operation name “Annunciation of Victory”, targeting Al Udeid Air Base in Qatar—the largest U.S. base in the region.
Qatar temporarily closed its airspace amid the strikes, and flight-tracking services confirmed nearby UAE airspace closures as well.
But according to U.S. officials cited by Reuters, no missiles hit the base directly, and no casualties or damage were reported.
The New York Times confirmed that Iran had notified both Qatari and …