Public Markets 3d Briefing
×Market Turmoil and Energy Crisis
US stocks bloomberg.com have flipped the script for international investors since war erupted in the Mideast, handily outpacing the rest of the world after trailing their global peers badly last month. The S&P 500 fell sharply nytimes.com in its worst week since June, with the index dropping 1.2% as the conflict drove oil prices to 20-month highs. Gasoline prices nytimes.com continued to surge in the U.S., rising 14% in a week, while diesel and jet fuel also became much more expensive.
Oil futures bloomberg.com shot up to the highest levels in 20 months as investors increasingly price in a prolonged war in the Middle East. Hedge funds bloomberg.com are closing out what many describe as a record-setting week and bracing for more volatility as the war in Iran shows no signs of easing. Energy markets wsj.com were rocked this week by the outbreak of war in the Persian Gulf, where roughly one-fifth of the world's oil supply originates.
Global Economic Fallout
World food prices wsj.com rose for the first time in five months, according to the UN Food and Agriculture Organization, as the conflict disrupted fertilizer supplies. A third of global fertilizer supply passes through the Strait of Hormuz, while gas from the region is crucial to production of nutrients for global agriculture. Southeast Asia governments wsj.com are on alert for economic impact of the Iran crisis, with governments in the region taking steps to limit the fallout from the conflict.
Asia's big economies ft.com are bracing for the Iran war energy shock, with some of the world's biggest fuel importers rushing to secure oil and gas supplies as the Middle East conflict chokes the flow. India bloomberg.com is facing sweltering summer nights as the conflict crimps natural gas supply, which could curtail electricity generation from a key source used to cool homes. Indian automakers bloomberg.com are delaying shipments to the Middle East and North Africa as escalating regional tensions upend sea routes and drive up freight costs.
Financial Markets and Investment
US Treasuries bloomberg.com pared their biggest weekly loss since April 2025 as a surprisingly weak US jobs report and surging oil prices complicate the case for Federal Reserve interest-rate cuts. Nonfarm payrolls bloomberg.com fell 92,000 last month, with the unemployment rate rising, pointing to lingering fragility in a labor market that was thought to be stabilizing. White House National Economic Council Director Kevin Hassett bloomberg.com called the February jobs report loss an "outlier," saying bad weather impacted the numbers.
Goldman Sachs CEO David Solomon bloomberg.com discussed the market reaction to the Iran attacks, his views on AI, and why he is keeping an eye on the private credit market. BlackRock's retail private-credit hopes bloomberg.com are running into market angst as several listed 'business development companies' have had to slash dividends and write down asset values. Private credit's retail honeypot ft.com is getting less sweet amid the current market conditions.
Currency and Trade Impacts
The Canadian dollar bloomberg.com has become a top pick in the $9.5-trillion-a-day foreign exchange market due to its link to oil prices as the war in the Middle East grinds on. The Euro bloomberg.com and the Loonie tell you where investors see risk, with the common currency slumping on the oil-price surge that lifts the Canadian dollar. Switzerland bloomberg.com wants to continue talks with the US on a legally binding trade agreement even after the Supreme Court scrapped the legal base for most of Donald Trump's sweeping tariffs.
Strait of Hormuz shipping bloomberg.com is at near-total halt, with maritime traffic in the vital waterway grinding to a near-complete stop as the Middle East war disrupts the crucial passageway. Saudi Arabia wsj.com has started to shift crude exports to the Red Sea as Hormuz disruption mounts, with about 10 million barrels of crude loaded from the Red Sea's Al-Muajjiz terminal in the first four days of March.
Corporate and Industry Developments
Saks Fifth Avenue wsj.com is shrinking to half the number of stores in bankruptcy, with a smaller footprint enabling the retailer to focus more on luxury shoppers. Gap CEO Richard Dickson bloomberg.com says it was a successful quarter despite fourth-quarter sales and profit coming in slightly below expectations. Millennium Management bloomberg.com hired four stock pickers from rival Citadel as the multistrategy hedge fund giants battle over talent to help manage their soaring assets.
Sierra Space Corp. bloomberg.com has raised $550 million, fueling its drive to become a defense contractor for the US government. Oracle and OpenAI ft.com scrapped a deal to expand their flagship Texas data center, with Meta now in talks to take up additional computing capacity. Defense start-ups ft.com are setting their sights on the interceptor market as the cost of warfare soars and the rules of engagement change.
Regional Market Impacts
UK lenders ft.com have raised mortgage rates amid warnings over inflation and energy prices, with market mood 'completely changed' following the outbreak of Middle East war. Gilts ft.com sold off sharply on fears of inflation from the Iran war, with hopes for Bank of England rate cuts fading as oil and gas prices soar. Europe bloomberg.com faces energy price shocks from the Iran war, exposing the region's weakness as French President Emmanuel Macron addressed executives from heavy industries about the challenges ahead.
Brazil nytimes.com has made a political U-turn toward the U.S. at Trump's summit in Miami, with the country's president reorienting toward Washington after resisting U.S. influence for two decades. India's powerful state leader bloomberg.com is set to resign, boosting Modi's grip as the move could give the prime minister's ruling party greater scope to consolidate its control in the politically crucial state of Bihar.