Oil prices jumped to the highest level in more than three months on Friday after the USA killed a top Iranian military commander in Iraq, sparking fears that escalating conflict in the region could disrupt global oil supplies.
"The Iranian retaliation could take the form of a quick response by proxies against US allies and assets".
Iranian commander-in-chief Ayatollah Ali Khamenei called for revenge on the U.S. on Friday, prompting brokers to forecast a further rise in oil prices. The S&P 500 fell 23 points, or 0.7%, to 3,234.
With India's gross domestic product growth slowing to a six-and-a-half-year low of 4.5% in the September quarter, there are serious concerns that high fuel prices could hurt economic recovery. Technology stocks, health care companies and airlines also took heavy losses.
"If Iran made a more concerted action to disrupt global production, you'd be looking at prices higher than that, in which case you'd certainly see an even bigger move in Canadian equities", says Randy Ollenberger, managing director of oil and gas equity research at BMO Capital. Defense contractors also notched gains.
West Texas Intermediate (WTI) crude was up $1.52 or 2.5% at $62.70 a barrel.
1 million revellers welcome the new year at Times Square
For those who can't be in New York City for the big event, there are plenty of ways to watch on TV , online or on your phone. Adventurous party-goers arrived early to get a good spot and they were required to stay outside in designated areas.
The Toronto Stock Exchange energy index was up by as much as three per cent in early trading and closed the day ahead by 0.8 per cent.
The strike near Baghdad airport killed Qasem Soleimani, the Iranian general who led the Revolutionary Guards' Quds force, according to a United States defence department statement.
As of press time, according to the American Automobile Association, oil futures rose 3.7 percent to $63.44 and the national price of gas hit $2.59, up 3 cents from last week.
Another worry, according to government officials, is that tensions between Iran and the USA could affect India's trade with the region, which now stands at $78 billion (from Gulf Cooperation Council member countries-Saudi Arabia, Kuwait, the UAE, Qatar, Bahrain and Oman), according to April-November figures from India's commerce ministry.
Iran's Supreme Leader Ayatollah Ali Khamenei said harsh revenge awaited the "criminals" who killed Soleimani.