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Dollar up, oil down following bin Laden’s death

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U.S. stock index futures opened higher Monday following confirmation from the White House that al-Qaeda leader Osama bin Laden was killed by U.S. forces, Reuters reported.

The dollar edged up as U.S. crude oil futures dropped 1.5 percent after bin Laden was killed in a helicopter raid on a mansion near Islamabad, the capital of Pakistan.

Brent crude was down 1.6 percent.

“This is a great story for freedom lovers, but it will only impact the economy insofar as it brings the price of oil down,” said Christian Wagner, CEO at Longview Capital Management LLC in Wilmington, Del. “Energy stocks could experience some pressure today, albeit on the back of some record earnings.”

Wagner, who saw the lift as temporary, said new geopolitical tensions could arise as splinter groups take advantage of the new power vacuum in the terrorist network.

“If earnings continue to do well, then I wouldn’t go so far as to say that we’ll see a pullback in the coming days,” he said. “But there will be increased concerns about the region contributing to market movement.”

The death of bin Laden, the mastermind behind the Sept. 11, 2001, attacks, marked the end of a worldwide manhunt that lasted nearly 10 years.