A US attack on Iranian nuclear sites is poised to send oil prices higher and trigger a rush to safe-haven assets, investors said, as they evaluated the ramifications of heightened tensions in the Middle East on the global economy.

The strike, announced by President Donald Trump via social media, deepens US involvement in regional conflict, sparking uncertainty among market participants.

The immediate aftermath is expected to result in a selloff in equities and increased demand for safe-haven assets like the dollar, though experts remain divided on long-term effects.

Concerns about oil price spikes and resulting inflation pose significant risks to both consumer spending and potential interest rate cuts.

Historically, stock markets have initially suffered during periods of heightened Middle East tensions but later recovered.

The dollar may see an initial boost from a safety bid in the event of further conflict escalation.