Oil extends gains and stocks drop as Iran conflict spreads

The attacks on the Islamic state have upended regional energy flows, with the crucial Strait of Hormuz -- through which about a fifth of global oil transits -- effectively closed off. The conflicts has also fuelled fears of a fresh energy crisis that could ramp up inflation. Market moves have been comparatively mild amid hopes that the crisis will be short-lived and not cause a major problem for the global economy. But analysts warned that the longer it goes on the more painful it would be on the...