Safe-haven assets jump as U.S. missiles strike Syria

Today, the safe-haven Bonds and the Yen jumped in Asia as Stocks slipped after the United States launched cruise missiles against an air base in Syria, raising the risk of confrontation with Syrian backers Russia and Iran.

The U.S. Dollar dropped half a Yen, while Gold and Oil prices rallied hard, though dealers said the early panic calmed when a US official called the attack a “one-off”.

MSCI’s broadest index of Asia-Pacific Shares outside Japan were down 0.5% but above the early low. E-mini S&P 500 Futures lost 0.3% in an unusually sharp move for Asian hours, but Japan’s Nikkei reversed course again to be up 0.4%.

President Donald Trump ordered the strikes against a Syrian air base controlled by President Bashar al-Assad’s forces in response to a deadly chemical attack in a rebel-held area last Tuesday. Trump took the toughest direct US action yet in Syria’s six-year-old civil war. Secretary of State Rex Tillerson noted the attack was “proportionate”, suggesting no follow-up was planned.