Oil prices surge after US warns of Iranian attack

Oil prices jumped about 3 percent on Tuesday after the White House warned that Iran is preparing to launch a missile attack against Israel.

Oil prices shrugged off Israel's invasion of Lebanon and killing of Hezbollah chief Hassan Nasrallah last week, but the spectre of an Iranian attack risks bringing the Middle East to the brink of a regional war. 

Stock markets are also down on geopolitical tensions.