Rocket and drone attacks targeting the U.S. embassy and diplomatic facilities in Baghdad have resumed, according to local sources and security officials. The attacks, which occurred amid heightened tensions in the region, were quickly condemned by U.S. authorities, who reaffirmed their commitment to protecting personnel and infrastructure. Iraqi security forces have reportedly increased patrols and security measures in response to the incidents. The resumption of attacks could exacerbate regional instability, potentially impacting global oil markets and investor sentiment. Baghdad is a critical hub for Iraq’s oil exports, and any disruption to operations or infrastructure could ripple through energy prices. Traders may also monitor the U.S. response, as retaliatory actions could escalate tensions further. For Gulf and MENA investors, the situation underscores the vulnerability of regional markets to geopolitical shocks. Oil prices may experience short-term volatility, while gold and safe-haven assets could attract inflows. Investors should watch for updates on U.S.-Iraq relations, potential military responses, and broader Middle East stability indicators.

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