Oil climbed early Monday with investors squarely focused on escalating geopolitical tensions as Israel and Iran continue to bombard each other with no sign of a pause.

Crude oil jumped the most in more than three years, stocks slid and haven assets including government bonds and gold rose after Israel attacked Iran’s nuclear program sites in a major escalation of tensions in the Middle East.

The Longview Economics team drew parallels between how the oil market reacted to the Israel-Iran exchange of missiles in April 2024 and what's happening right now. "Recent Iran-Israeli conflicts have been relatively short lived.