Israeli airstrikes targeted several towns in southern Lebanon, including Marwaniyah and Al-Kharayeb, escalating tensions in the region. This increase in military activity may heighten geopolitical risk, influencing investor sentiment and risk appetite across Middle Eastern markets. Assets most exposed include Israeli equities and Lebanese government bonds, as heightened conflict could lead to capital flight and increased volatility. Traders will be particularly attentive to any official responses from the Israeli government or Hezbollah, as these could further impact regional stability and market dynamics.
Lebanese media: Israeli airstrikes on the towns of Marwaniyah, Al-Kharayeb, Hai Al-Masareb, and Meifdoun in southern Lebanon
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