The Middle East situation has caused international oil prices to surpass $100, leading to turmoil in the financial markets.

The Middle East situation has triggered a sharp rise in international oil prices, causing significant fluctuations in related financial products. As a result, on the 9th, international oil prices surged above $100 per barrel, and financial products that invest in crude oil futures, especially exchange-traded funds (ETFs), hit their daily limit up. KODEX WTI Crude Oil Futures increased by 30% compared to the previous day, reaching the upper limit, while TIGER Crude Oil Futures Enhanced showed a similar gain.

On the other hand, ETFs that profit from falling oil futures prices experienced the opposite outcome. TIGER Crude Oil Futures Inverse and KODEX WTI Crude Oil Futures Inverse both dropped by 29.5% and 28.9%, respectively, hitting their daily limit down. Investors should be highly cautious in such situations, as the extreme volatility in premium rates is a warning sign of investment risks.

The stock market also saw major changes. The Korea Composite Stock Price Index plummeted nearly 8%, and inverse products betting on the index decline recorded high returns. Major inverse products include “KOSPI200 Futures Inverse 2x Leverage,” which achieve substantial gains by tracking the daily returns of the KOSPI200 index in reverse and double.

This market shift once again highlights the importance of risk management for investors. Currently, close attention should be paid to how the instability in the oil market impacts financial products. While it is difficult to predict whether the geopolitical tensions in the Middle East will ease or worsen, the ripple effects of this volatility on the financial markets are expected to continue drawing focus.