Killing of Iran general sends oil and yen surging

Markets hold breath for Tehran's response after US strike on Soleimani

Demonstrators burn the U.S. and British flags during a protest against the assassination of the Iranian Gen. Qassem Soleimani by the U.S., in Tehran on Jan. 3. © WANA/Reuters

TAKESHI KUMON and RYO NAKAMURA, Nikkei staff writer

January 4, 2020 02:14 JST

TOKYO/WASHINGTON -- Oil prices surged and the yen climbed on Friday as markets reacted to the death of Iran's top general in a U.S. airstrike, with the risk of greater Middle East tensions hanging over Asia's energy supply.

Benchmark Brent crude rose as much as 5% to $69.50 a barrel, the highest since September and close to the psychologically important $70 mark. The yen briefly strengthened to the 107 range against the dollar, touching a two-month high. Hong Kong's Hang Seng index and India's Sensex both slipped Friday, while the Dow Jones Industrial Average fell by over 200 points in early trading.