Stocks moved sharply higher Monday morning, recovering from steep losses the previous session, as investors keep close tans on the latest developments in the ongoing conflict between Israel and Iran.

Selling pressure on 10-year US Treasuries from the latest round of Israel-Iran conflict is likely to have a lasting effect if past episodes of clashes between the two nations are any guide.

An exchange of strikes on refineries and gas facilities was limited but raised the risks to an industry with broad economic impacts.

Israel and Iran have traded more missile attacks despite international calls for a halt to the fighting, with neither country showing signs of backing down as the conflict between the regional foes raged for a third day.

Iran was forced to shut part of its operations at the South Pars gas field after a suspected Israeli drone strike ignited a fire at one of its critical processing units on Saturday. The incident caused the suspension of 12 million cubic metres of gas production.

Israel's defense minister is warning that "Tehran will burn" if Iran continues firing missiles at Israel. Debora Patta has the latest from Jordan.

Israel said on Monday that it had struck the command center of Iran’s elite Quds Force, as the fiercest and deadliest confrontation in the history of the Israeli-Iranian conflict entered its fourth day.