Iranian media reported overnight that air defence systems in the southwest of the country shot down an enemy reconnaissance drone, Israeli N12 reports

The reports of Iranian air defense systems downing an Israeli reconnaissance drone represent a potential escalation in regional tensions, which could impact global markets, particularly the energy sector.

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Two interceptors were launched from Kiryat Shmona area to southern Lebanon following the identification of a suspicious aerial target, according to N12

Hezbollah says it targeted Israeli force stationed inside a house in Baidar al-Faqaani in the town of Taybeh for the second time

Iranian media reported overnight that air defence systems in the southwest of the country shot down an enemy reconnaissance drone, Israeli N12 reports

ECB's de Guindos says "I think that we have to wait before deciding on the next interest rate move. We need more clarity about the conflict in Iran. We will have new projections in June. Let’s see the data", when asked about a June rate hike

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Heightened geopolitical risks often lead to a flight towards safe-haven assets like gold and could influence oil prices due to concerns over supply disruptions. Traders should monitor how this development affects sentiment and positioning in related currencies and commodities.

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