BANGKOK (AP) — Oil prices fell back Monday while the prices of precious metals surged as markets reacted calmly to the U.S. capture of Venezuelan President Nicolas Maduro in a weekend raid.
Asian shares rallied on heavy buying of tech-related stocks after modest gains Friday on Wall Street. The future for the S&P 500 was up 0.2% while that for the Dow Jones Industrial Average was virtually unchanged.
In early European trading, Germany's DAX was up 0.8% at 24,728.94, while the CAC 40 in Paris picked up 0.3% to 8,216.98. Britain's FTSE 100 edged 0.2% higher, to 9,968.71.
“While the capture of Venezuelan president Maduro by American forces has dominated headlines, financial markets seem unperturbed,” Thomas Mathews of Capital Economics said in a report. “We agree with the implicit view that the near-term economic and financial implications are minor.”
Shortly after trading began Monday, U.S. benchmark crude oil rose slightly. But it later was trading 36 cents lower at $56.96 per barrel. Brent crude, the international standard, gave up 34 cents to $60.41 per barrel.
After years of neglect and international sanctions, Venezuela’s oil industry is in disrepair. It could take years and major investments before production can increase dramatically. But some analysts expect its current output of about 1.1 million barrels a day could double or triple fairly quickly.
With oil levels already plentiful, crude already was trading near its lowest level in about six months.
In any case, the U.S. move rippled through financial markets as traders maneuvered to account for the uncertainty brought on President Donald Trump's unusual military operation and his insistence that the U.S. will be running Venezuela following its Maduro's ouster.
The price of gold rose 2.7% and silver jumped 6.6%.
Such assets are often considered safe havens in times of geopolitical turmoil.
“Investors are happy to own risk, but they want insurance in the drawer. This is confidence with a hedge, not euphoria,” Stephen Innes of SPI Asset Management said in a commentary.
Share prices in Asia shot sharply higher.
In Tokyo, the Nikkei 225 jumped 3% to 51,832.80, its highest close since it hit a record of 52,411.34 on Oct. 31. The index closed at a year end high for 2025 and only resumed trading on Monday.
“Looking at the environment surrounding the markets, continuously, there are various risk factors. We must keep an eye on geopolitical risks in Ukraine, the Middle East and East Asia, the U.S.-China trade war, monetary policies in other countries and their development, and corporate performance trends in Japan,” Hiromi Yamaji, CEO of the Japan Exchange Group, said in the market's traditional New Year opening ceremony.
South Korea's Kospi surged 3.4% to 4,457.52, a record. It also ended Friday with a record high close.
Australia's S&P/ASX 200 closed flat at 8,728.60, while Taiwan's benchmark climbed 2.6%.
In other trading early Monday, the dollar rose to 156.88 Japanese yen from 156.82 yen. The euro slipped to $1.1680 from $1.1726.
This week is the first full week of the new year. It will bring several closely watched U.S. economic updates, some of the last big updates the Fed will see before its next meeting at the end of January.
Wall Street will get several economic updates this week that will also be watched by the Fed as it determines interest rate policy.
On Monday, the Institute for Supply Management released its manufacturing index for December showing the sector continued shrinking. More importantly, the business group will release its December report on the services sector on Wednesday. The services sector makes up the bulk of the U.S. economy and it grew, even if only slightly, throughout most of 2025.
Reports on the job market later this week, which include updates for job openings and overall employment, will be a bigger focus for the Fed. The central bank has been weighing a slowing job market against risks for rising inflation as it decides whether to cut interest rates. It cut its benchmark rate three times late in 2025, but inflation has remained above its 2% target and that has made the Fed more cautious.
Wall Street still expects the Fed to hold rates steady at its upcoming meeting later in January.
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AP business writer Elaine Kurtenbach and AP video journalist Mayuko Ono contributed to this report.