Markets Whipsaw: Oil Prices and Conflict Drive Dramatic Swings on Wall Street

In a volatile session, the US stock market rebounded from steep losses to end the day with gains amid fluctuating oil prices. Initially driven by fears of prolonged conflict with Iran, markets calmed following presidential comments suggesting a resolution. Professional investors see potential buying opportunities despite ongoing uncertainties.

On Monday, the US stock market experienced significant volatility, initially sinking due to fears of an extended conflict with Iran and skyrocketing oil prices. But a late-day rally saw indices closing with gains, thanks to soothing remarks from President Donald Trump suggesting that the war might be short-lived.

Oil prices soared early in the day, with Brent crude nearly hitting $120 a barrel, before tumbling back under $90 as geopolitical tensions eased. President Trump's assertion that military tensions with Iran were dissipating calmed investor nerves and led to a recovery.

Despite the rollercoaster day on Wall Street, investment experts see potential opportunities, predicting that the current oil supply issues may resolve and prices will decline in the coming months. Challenges remain, with the threat of stagflation looming if high oil prices persist.

(With inputs from agencies.)