The international benchmark for oil, Brent, rose by 9.3% to US$100 per barrel. Meanwhile, local stocks and bonds are trading lower this Thursday, dragged down by another surge in oil and the feeling that the war in the Middle East will bring global problems with inflation, trade, and world debt. Sovereign dollar bonds are mostly trading 'in the red', with the Global GD35 bond standing out (-0.7%). The country risk climbs to 561 basis points. On Wall Street, stocks and ADRs of Argentine companies are also falling sharply. The most significant drops are for Banco Macro (-5.1%), Grupo Financiero Galicia (-4.3%), and Telecom (-4%). The S&P 500 fell 1.3%, and the Nasdaq Composite, with a strong tech component, plummeted 1.66%. US crude prices rose 9.8% to US$95.83 per barrel. Buenos Aires, March 12 (NA) – Stocks fell and oil prices rose on Thursday as the war with Iran continued to fuel fears of higher energy costs and disruptions to the global economy. Oil prices rose after Iran's new Supreme Leader, Mojtaba Khamenei, issued his first public message, warning that the crucial Strait of Hormuz will remain closed as a 'tool of pressure', according to the Argentine News Agency. The message, read by a presenter on state Iranian television, also said that all US bases in the region 'will be attacked' unless they close. The Strait of Hormuz, the vital waterway off the Iranian coast through which 20% of the world's oil consumption flows, has been virtually closed since the start of the war. This sent oil prices soaring and dimmed prospects for stocks worldwide. Major US stock indices fell 1% or more, prolonging a recent period of volatility. The Dow Jones fell 655 points, or 1.38%.
