The US has intelligence suggesting that China may be preparing to provide Iran with financial assistance, spare parts and missile components, three people familiar with the matter said, though Beijing has stayed out of the war up until now, via CNN

The potential for China to assist Iran with financial support and military components signals an escalation in regional tensions, particularly as it relates to U.S. interests. This could lead to increased volatility in oil markets, especially WTI, as concerns over supply disruptions may heighten, influencing risk sentiment across asset classes. Traders should closely monitor how this development affects diplomatic relations and market reactions moving forward.