Public Markets 8 Hours

Last updated: May 25, 2026, 5:31 AM ET

Energy Markets

Oil prices fell below $100 on optimism that U.S.-Iran peace talks were advancing, with Brent crude dropping 5% as European natural gas prices slid 5% on similar hopes. The Swiss trading company played a key role in the transit through the Strait of Hormuz of an oil supertanker whose journey had captivated the oil market, while Abu Dhabi National Oil Co. has been ferrying oil and gas shipments out of the Persian Gulf using its own fleet. The potential reopening of Hormuz lifted emerging-market assets as stocks and currencies rose, though fertilizer producers cut production as the Iran war squeezed sulphur supplies.

Currencies & FX

The dollar fell to a one-week low against a basket of currencies as oil prices dropped on prospects of a deal between the U.S. and Iran, while gold prices rose on weaker dollar and optimism that potential breakthrough in U.S.-Iran peace negotiations could improve inflation outlook. India's rupee strengthened as oil prices dropped on hopes of a U.S.-Iran deal and on comments by the central bank Governor that the currency may be undervalued. RBI Governor Sanjay Malhotra confirmed the valuation concern in an interview, suggesting the currency may now be undervalued following its recent depreciation.

Asian Markets

A Chinese online brokerage tycoon lost $1.7 billion in a single day after Beijing cracked down on cross-border stock trading to tighten control over capital outflows, while Chinese investors rushed for exit after Beijing launched its most forceful crackdown on illicit cross-border stock trading. China's latest crackdown may affect as much as HK$250 billion ($32 of assets in Hong Kong according to Citic, and Uber emerged as the biggest shareholder in Delivery Hero after making sizable stake purchases in recent weeks. SoftBank Group planned to raise ¥260 billion ($1.6 through another sale of subordinated bonds aimed mainly at individual investors.

Fixed Income & Bonds

Japan bonds face homegrown downside risks even as oil retreats, with a gauge of risk compensation for holding government bonds rising fastest in Japan among major markets since the U.S.-Iran war began. Bank lending to UK businesses fell to lowest level in nearly 30 years as weak economic growth and tighter regulation hit credit for small and medium-sized companies. PT Bank SMBC Indonesia sold 19.9 trillion rupiah ($1.1 worth of pension loans as it tilts away from its legacy business, while Italy's state lender Cassa Depositi planned to raise its stake in Nexi SpA to as much as 29.9%.

Global Market Trends

The AI boom is giving momentum investors their best return in decades as the world's hottest stocks power ahead despite worries over potentially slower growth due to the Iran war. U.S. consumers face looming spending squeeze as Trump tax rebates fade with fuel prices driven 50% higher by the Strait of Hormuz blockade. HS2 paid consultancies £65mn last year in the run-up to project 'reset', likely raising questions about the taxpayer-funded body's approach to the long-delayed railway. Investors can no longer rely on a 'policy put' as the capacity of policymakers to respond to shocks is down across the board.