Oil drops, stocks climb as Trump delays Iran move

London: Oil prices retreated Friday while US and European stock markets mostly gained ground as concerns over a war escalation in Iran eased. But i...

London: Oil prices retreated Friday while US and European stock markets mostly gained ground as concerns over a war escalation in Iran eased.

But investors remain wary of further volatility in the coming days, with analysts citing uncertainty over the Middle East conflicts and the lingering uncertainty over US tariffs.

The Brent international crude benchmark contract dropped three percent, weighing on the share prices of energy majors, after US President Donald Trump said he would decide whether to join Israel's strikes on Iran within the next two weeks.

Traders said it suggested Trump preferred negotiations to end the fighting, as top European diplomats met Iran's Foreign Minister Abbas Araghchi in Geneva on Friday to discuss a "diplomatic solution" to end the war.

US indices opened slightly higher Friday before falling back, though analysts said volumes were likely to be lacklustre with many traders taking a four-day weekend after Thursday's Juneteenth holiday in the US.