Public Markets 3d Briefing
×Market Turmoil
US stocks bloomberg.com ended little changed as traders assessed the potential market impact from an escalating conflict in the Middle East that triggered a spike in oil prices. The S&P 500 Index futures were down 1.4% as the war in Iran entered its fourth day, heightening fears of a lengthy disruption to energy markets and a surge in inflation. Treasury bonds bloomberg.com slumped for a second day as traders slashed bets on the extent of interest-rate cuts expected from the Federal Reserve this year, with oil price surges prompting traders to scale back bets on easier monetary policy.
Oil & Energy Crisis
Oil prices bloomberg.com surged to their highest levels since the summer of 2023 as the conflict in the Middle East threatens global supplies, with diesel's premium to crude oil reaching multi-year highs. Brent crude bloomberg.com futures are trading at the biggest premium to the Middle Eastern Dubai marker since 2022 after the global crude benchmark surged following attacks on Iran. The International Energy Agency is ready to help stabilize the global oil market in the wake of the Iran conflict, noting that member countries hold over a billion barrels in emergency stockpiles.
Currency & FX
The dollar bloomberg.com headed for its biggest two-day rally in almost a year as the deepening war in Iran stoked inflation fears and spurred demand for havens. Allianz Global Investors is considering purchasing dollars after months betting against the US currency as the war in the Middle East revives its status as a haven asset. Egypt's pound bloomberg.com briefly weakened past the milestone of 50 per dollar before paring some losses, signaling investors' fears over the prospect of a prolonged conflict in the Middle East.
European Markets
European shares finance.yahoo.com skidded to one-month lows as Middle East war drags on, with European investment banks' selloff on geopolitical tensions in the Middle East looking excessive according to analysts at JPMorgan Chase & Co. European defense companies soared on Middle East conflict as investors flocked to defense stocks in Europe as the conflict widens and missile technology comes into focus.
Asian Markets
Asian FX investing.com fell as Middle East strikes spur oil surge, with the South Korean won leading losses. Emerging-market assets extended losses as the war in Iran impedes a key route for global energy supplies, lifts the dollar and forces investors to adjust to the risks of resurgent inflation. India said it is concerned about the widening conflict in the Middle East and the impact on its citizens in the region.
Corporate Moves
On Holding investing.com stock slid after 2026 revenue outlook fell short of estimates, with the running shoe maker's sales outlook for the current year underwhelmed investors. Best Buy wsj.com said it saw a return to positive same-store sales during fiscal 2026 but projected weak growth for the year ahead as it expects consumers to continue hunting for value. Ziff Davis wsj.com has struck a deal to sell its connectivity division to Accenture for $1.2 billion in cash.
Tech & AI
Software stocks investing.com shorts reached the highest level since the GFC, with Deutsche Bank noting the elevated positioning. Palantir Technologies Inc. is back on Wall Street's buy list after a 38% plunge, as the potential for growth in the company's defense business brings enthusiasm back to the stock. SAP CEO Christian Klein announced a plan to shake up its executive board to focus on artificial intelligence as Europe's most valuable software company faces increasing pressure.
Healthcare & Insurance
Cigna wsj.com Group's longtime leader, David Cordani, is retiring as chief executive of the health insurer later this year and handing the reins to Brian Evanko. Zurich Insurance wsj.com confirmed an $11 billion Beazley takeover, ending a period of uncertainty after a deadline for Zurich to make a firm offer was pushed back to this week.
Metals & Commodities
Gold wagers hit a 16-week high as risk-off sentiment grew amid the Middle East conflict. The potential for gold to reach $6,000 in the near future is being weighed by experts as investors seek harbor in the precious metal amid US and Israel strikes on Iran.
Real Estate & Construction
UK bloomberg.com is slashing its bond sales to a three-year low, reflecting an improvement in the country's finances. UK food inflation edged higher in February, clouding the Bank of England's outlook as shoppers splashed out on pricier meal deals for at-home celebrations.
Defense & Aerospace
German defense technology firm Vincorion is set to begin formally marketing its initial public offering in Frankfurt this week, despite equity markets being roiled by conflict in the Middle East. AeroVironment investing.com bounced 6.5% on Space Force contract talks, with the defense contractor seeing increased interest amid rising geopolitical tensions.
Logistics & Transportation
Airlines grappled with disruptions that 'far surpass' previous Middle East conflicts after thousands of flight cancellations, with carriers facing higher fuel costs and complicated rerouting. A shortage of tankers in the Persian Gulf could hit oil production, with just a handful of supertankers still available for hire in the Persian Gulf, risking a logistical crisis.
Mining & Materials
MMG Ltd. said profit more than tripled last year, buoyed by higher commodity prices and strong output at key mines, though still fell short of analyst estimates. A wave of new rare-earth supply this decade won't be enough to meet rising global demand, setting the stage for shortages and stronger pricing power for dominant supplier China.
Financial Services
The Federal Reserve's top bank cop said the regulator should weigh how its liquidity rules affects lenders during times of volatility and address weaknesses in the framework. Banks are asking British officials to exempt the UK's Treasury bills from a key regulatory capital metric to help the nation expand the market.
Private Equity & M&A
Medline Inc. shareholders are offering 75 million shares in the company, capitalizing on a rally in the medical supplier's stock since its debut late last year. Rosebank Industries Plc plans to buy two specialty manufacturing companies in the US for $3.05 billion, tapping equity markets to help fund the deal.