Oil and gold prices have eased after Iranian authorities appeared to downplay reports of an attack from Israel.
Brent crude, the international benchmark, fell after jumping briefly to over $90 a barrel after reports emerged of an attack.
Gold briefly came close to a record high before settling below $2,400 an ounce.
There are concerns a worsening conflict in the Middle East could disrupt oil supplies.
Investors have been closely watching Israel’s reaction to Iran’s direct drone and missile attack last weekend.
Oil prices had jumped by as much as 3.5% initially. But Brent then fell back to roughly $87 a barrel after Iranian state media claimed that there was “no damage” in Isfahan province where there had been reports of explosions.
The price is Brent is still far below the heights reached after Russia invaded Ukraine in February 2022 when a number of major economies imposed sanctions on the oil-producing nation.
Oil hit $125 a barrel in the weeks that followed, leading to a sustained period of higher household energy bills.