Public Markets 8-Hour Briefing
×Market Turmoil
Oil prices surged above $100 a barrel, with traffic through the Strait of Hormuz grinding to a virtual halt, unleashing the most severe energy crisis since the 1970s. Asian equities slumped sharply, with Japan's Nikkei falling 7.0% as escalating Middle East tensions disrupted petroleum supply.
Commodity & Currency Shifts
Aluminum rose to the highest in almost four years as Middle East hostilities worsened supply outlooks, while gold extended declines amid inflation fears. The yen could weaken to 159.30 against the dollar in volatile trading. Chicago soy oil jumped more than 4% as crude's rally boosted biofuel demand.
Market Reactions
Bitcoin fell to its lowest price in a week during early Asia trading. Chinese sovereign bonds slumped as surging oil prices spurred concern over imported inflation. US stock futures dropped as global investors brace for more turbulence. Fosun International shares rebounded as much as 2.2% after controlling shareholders pledged to boost holdings.
Risk Assessment
An emerging-market stock index dropped more than 10% from its recent peak as risk appetite diminished. Ed Yardeni raised the odds of a US market meltdown to 35% due to the escalating war in Iran. South Korean equities fell as rising oil prices prompted investors to reduce risk exposure.