War fears push up gold, crude prices; stocks climb down
New Delhi, October 19
The gathering storm clouds in West Asia have exerted a bearish pressure on stock markets worldwide, while the US is engaged in talks to stave off a rise in crude oil prices which could touch $100 per barrel due to western sanctions on Russia and the decision of OPEC Plus to cut oil production.
In line with global stock markets after the US dispatched naval marines and more warships to assist Israel while Iran took a belligerent position on the bombing of Gaza, the Sensex in India fell 247.78 points and Nifty ended 58.95 points down. Another reason was the 16-year peak in the yield for US 10-year bonds. The uncertainty led to gold surging to a one-month high. In view of the impending pressure on crude prices, the US has abandoned its policy of isolating the Nicolas Maduro regime and eased sanctions on Venezuela’s oil sector. The US Treasury Department issued a new general licence to OPEC member Venezuela, which had been under sanctions since the Trump administration, to produce and export oil to its chosen markets for the six months without limitation.
US Secretary of State Antony Blinken said the US had acted “consistent with our longstanding commitment to provide US sanctions relief in response to concrete steps toward competitive elections and respect for human rights and fundamental freedoms (in Venezuela)”.
