What the US does in Venezuela doesn't have a big effect on markets around the world. No one freaked out and sold off, and there weren't any big changes.
Instead, things stayed pretty much the same, and some places even got bigger. People wanted to keep their money safe, so the prices of gold and silver went up.
“This event has been in the news a lot, but investors don't seem to think it will have a big effect on the economy or the markets right away.
On the other hand, the price of oil went down a little. Asian stock indexes rose a lot, especially in markets where there were a lot of tech stocks.
Muted Market Reaction to Geopolitical Shock
What the US does in Venezuela doesn't have a big effect on markets around the world. No one freaked out and sold off, and there weren't any big changes. Instead, things stayed pretty much the same, and some places even got bigger.
People wanted to keep their money safe, so the prices of gold and silver went up. On the other hand, the price of oil went down a little. Asian stock indexes rose a lot, especially in markets where there were a lot of tech stocks.
Analysts weren't surprised that there was no answer. Thomas Mathews of Capital Economics said, "This event has been in the news a lot, but investors don't seem to think it will have a big effect on the economy or the markets right away."
He said that Venezuela's oil production had been hurt for a long time by sanctions, bad management, and not enough investment. Right now, the country only pumps about 1.1 million barrels a day, which is a lot less than it could.
Markets stayed calm overall. Despite the dramatic geopolitical developments over the weekend with the US military operation in Venezuela and the capture of President Nicolás Maduro, there was no widespread panic or major sell-off across global exchanges.
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Oil Prices Decline Amid Oversupply Expectations
It might take a long time and a lot of money to fix that, maybe even years. Because there was already a lot of oil available around the world, traders thought that any short-term problem wouldn't make the market any tighter.
At first, the price of crude oil went up a little because people were worried about what they didn't know. But as the day went on, people became more realistic, and prices dropped.
The price of US benchmark crude fell by about 50 cents, and by the end of the day, it was around $56.80 a barrel. Brent crude, which is the world's standard, fell by almost the same amount to $60.26.
That's almost the lowest it's been in six months, which shows how much stuff is out there right now. Some experts say that Venezuela could greatly increase its production—maybe even double or triple what it is now—if Caracas has more stable leadership and makes the right investments.
People were scared that anarchy would stop flows right now, but the thought that there would be more oil in the future made prices go down.
Safe-Haven Assets Shine as Gold and Silver Surge
On the other hand, investments that are safe did very well. Gold rose by more than 2%, and silver rose by even more, about 6%. People usually buy these metals when the world is unstable to protect themselves.
"People are willing to take risks in stocks and other areas, but they are keeping some protection on hand," said Stephen Innes of SPI Asset Management.
It's not full-blown fear; it's more like cautious hope with a safety net.
At first, Asian stock markets went up and didn't pay attention to the problem at all.
Asian Markets Rally Led by Tech Boom
On the other hand, investments that are safe did very well. Gold rose by more than 2%, and silver rose by even more, about 6%. People usually buy these metals when the world is unstable to protect themselves.
"People are willing to take risks in stocks and other areas, but they are keeping some protection on hand," said Stephen Innes of SPI Asset Management.
It's not full-blown fear; it's more like cautious hope with a safety net.
At first, Asian stock markets went up and didn't pay attention to the problem at all.
Broader Implications and Investor Caution
There were also some small changes in the currency markets. The US dollar went up a little against the Japanese yen, from 156.82 to 157.04. A lot of people weren't sure, but this showed that the dollar was getting stronger. The euro dropped a little, to $1.1692.
A lot of important news about the US economy will come out this week. The Federal Reserve will look at this important set of data before their meeting at the end of January.
There are news stories coming out about the services sector, which is the biggest part of the US economy, consumer confidence, and the very important jobs data.
Economists hope that these will help them figure out how the US economy was doing at the end of 2025 and how it will be doing in 2026, especially when it comes to growth, inflation, and interest rates.
On the first day of the new year, last Friday, Wall Street was calm. Stocks went up a little, even though they weren't always stable. The S&P 500 rose by 0.2%, the Dow Jones by 0.7%, and the Nasdaq by less than 0.1%.
The most important thing is that the US mission is very brave. Some people think it's a return to the days of interventionism, which makes it hard for international law and lasting peace. But it's easy for markets to figure out: there aren't many short-term risks because Venezuela isn't a big deal right now, and any potential upside, like cheaper oil if production picks up again, could be good for the whole economy in the long run.
Of course, things might change if the violence in the area keeps up or gets worse. But for now, it seems that traders are betting that things will stay the same instead of getting worse.
This event shows how everything is connected, from money and stocks to politics and energy. One raid on a weekend halfway around the world has had an effect, but in today's oversaturated oil market and tech-driven bull run, those effects haven't turned into waves.
In the end, Monday's trade showed that customers were sure but cautious. The world isn't sure what to do, but it's not scared. Stocks are going up, oil prices are going down, and gold is shining.
A trader who didn't want to be named said, "We've seen headlines like this before." The market sets prices based on what it can see, and for now, the effect that can be seen doesn't seem to be very big. We'll have to wait and see if that stays true as things change, but for the first full week of 2026, things were calm.
Benjamin Hayes
Business Journalist
Benjamin Hayes is a seasoned business journalist with a special focus on corporate finance, global markets, and entrepreneurial trends. He has covered major startups, tech investments, and economic shifts in multiple sectors.
