Analyst: The commodity market will experience a instinctive surge in response to the unexpected scale and scope of this conflict.

Marex analyst Edward Meir believes that we will see a sharp rise in most commodity markets as a natural instinctive reaction to the outbreak of hostile action. The scale and scope of this conflict are quite unexpected. Gold prices may initially rise by around $200 per ounce, but then retreat later in the day. The market remains fairly calm in the face of military conflict; investors are ultimately only concerned with whether oil supplies will be interrupted, so once the initial surge is over, the early gains tend to fade.