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Last updated: April 1, 2026, 2:30 AM ET

Geopolitical Relief Sparks Global Market RallyGlobal risk assets** [*rallied sharply following President Donald Trump’s declaration that the U.S. military campaign in Iran could conclude within two to three weeks. This optimism immediately lifted Asian equities and propelled European stock futures higher, as markets priced in a rapid de-escalation of Middle East tensions. The prospect of an end to hostilities also drove the cost of insuring Asian investment-grade debt against default down by the most in 11 months, suggesting reduced tail risk premium across the region.**

Energy & Commodities React to De-escalationCrude oil futures** [*traded down from recent highs, though analysts cautioned that prices would likely remain elevated, with Brent crude still projected near $80 by year-end even with a U.S. withdrawal. Simultaneously, copper climbed more than 1% on the news, while gold prices extended a three-day gain as traders shifted focus from immediate inflation fears to longer-term economic downturn risks. The war’s impact on food production was underscored by rising grain prices in Chicago, where lower-than-expected U.S. planting figures compounded existing supply worries.**

Asia Manufacturing and Trade Adjustments

Despite the relief rally, the preceding conflict fallout continues to reshape trade flows. Energy-starved nations like those in Asia, facing supply gaps from the Persian Gulf, are actively grabbing Russian oil using U.S. sanction waivers. Furthermore, the conflict has spurred policy shifts, such as Indonesia’s abrupt decision to expand its biodiesel mandate, tightening global vegetable oil markets. In contrast, Australia’s manufacturing sector contracted for the first time in five months due to surging cost pressures from disrupted energy supplies, even as Woodside Energy Group Ltd. resumed gas production at its North West Shelf facility post-cyclone.

Corporate & Credit Market Developments

In corporate news, the FTSE 100 giant Unilever is proceeding with a major reorganization, combining its food business with McCormick to forge a new $66 billion entity. Meanwhile, private credit managers are facing increasing regulatory scrutiny, with houses like Blackstone Inc. and Ares Management Corp. facing pointed questions from the House Financial Services Committee regarding their rapidly growing sector. Separately, Sona Asset Management is eyeing Japan for expansion, adding personnel to lead a push into the local private credit market.

Fixed Income and Currency Dynamics

Investor sentiment improved across Asia, causing the Singapore dollar to strengthen slightly against the U.S. counterpart, though the dollar itself was described by the *Financial [Timesas "disappointing". In India, the local currency market faces further turbulence as banks prepare to unwind billions in arbitrage trades, a situation that could worsen the rupee’s volatility. Amid these global shifts, Chinese government bonds emerged as a rare safe haven, with yields falling marginally while debt in other major economies rose during the conflict period.