Iran President Ebrahim Raisi's death: Will it impact gold, oil prices and stock markets?

Iranian President Ebrahim Raisi, the country's foreign minister and several other officials were killed after their helicopter crashed in a foggy, mountainous region of Iran's northwest, state media reported. On Monday, Vice President Mohammad Mokhber was appointed as acting president of the Islamic Republic. The 68-year-old is expected to serve as caretaker president for around 50 days before mandatory presidential elections in Iran. 

The death of Raisi happened as the Middle East remains unsettled by the Israel-Hamas war. Under Supreme Leader Ayatollah Ali Khamenei, Raisi launched an unprecedented drone-and-missile attack on Israel just last month. Raisi's death may have major implications for Iran, Israel, and the major oil-producing Middle East region. It could impact oil prices and gold prices.

Gold prices hit a new all-time high in Monday's trading session. However, this was also because of the latest US inflation and retail sales data fueled optimism that the Federal Reserve might implement at least two rate cuts this year. 

Besides, the political uncertainty in the Middle East region might lead to volatility in the stock markets. However, the markets have so far seemed to have defied the adverse impact of Raisi’s death on share prices. 

The development in Iran could also lead to volatility in oil markets. It may have an impact on oil production and exports. Oil prices rose in Asian trading following the crash of Ebrahim Raisi's helicopter. But despite volatility, the oil markets have remained largely rangebound.

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