Oil extends gains, stocks mixed as Trump issues fresh Iran warning

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Oil prices extend gains amid fears of a fresh bout of military exchanges between the United States and Iran following a flare-up over the weekend and Donald Trump’s warning that he will hit the country “hard”.

Both main crude contracts have risen, extending the previous day’s jump of more than two per cent.

Stocks have mostly fallen, with traders now awaiting the release of key data this month ahead of the Federal Reserve’s policy meeting on September 16.

Tokyo, Hong Kong, Shanghai, Sydney, Singapore and Wellington are all down, though Seoul, Taipei, Manila, Mumbai, Bangkok and Jakarta have risen.

London has slipped as it reopened after a long weekend, while Frankfurt is also down. Paris has edged up.

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