The fresh escalation in hostilities in the Middle East roiled market sentiment across regions and asset classes. The jump in crude oil prices as well as the spike in bond yields that followed also dominated market sentiment. Anxiety ahead of the release of the PCE-based inflation readings from the U.S. also swayed sentiment.
Wall Street Futures are trading below the flatline as the exchange of fire between the U.S. and Iran dampened hopes of a swift resolution of the Middle East conflict. Benchmarks in Europe are trading on a negative note. Earlier in the day, Asian markets had finished trading with heavy losses amid renewed weakness in technology shares.
Boosted by safe haven demand, the 6-currency Dollar Index which measures the U.S. Dollar's strength against a basket of 6 currencies has rallied. Bond yields also hardened as escalating geopolitical tensions and a rise in crude oil prices reignited inflation fears.
Both the crude oil benchmarks have rallied a little less than 3 percent. Gold is trading with losses of more than a percent. Cryptocurrencies are trading deep in the red in alignment with the risk aversion in global markets.
Here is a snapshot of the major world markets at this hour.
Stock Indexes:
DJIA (US30) at 50,568.40, down 0.15%
S&P 500 (US500) at 7,502.00, down 0.25%
Germany's DAX at 25,048.50, down 0.67%
U.K.'s FTSE 100 at 10,391.65, down 1.08%
France's CAC 40 at 8,170.51, down 0.46%
Euro Stoxx 50 at 6,042.35, down 0.46%
Japan's Nikkei 225 at 64,654.50, down 0.53%
Australia's S&P ASX 200 at 8,592.90, down 1.43%
China's Shanghai Composite at 4,098.64, up 0.12%
Hong Kong's Hang Seng at 25,006.16, down 1.27%
South Korea's KOSPI at 8,185.29, down 0.53%
Currencies:
Dollar Index at 99.38, up 0.18%
EUR/USD at 1.1609, down 0.15%
GBP/USD at 1.3398, down 0.21%
USD/JPY at 159.43, down 0.06%
AUD/USD at 0.7117, down 0.32%
USD/CAD at 1.3859, up 0.14%
Ten-Year Govt Bond Yields:
U.S. at 4.497%, up 0.40%
Germany at 2.9935%, up 0.28%
France at 3.609%, up 0.36%
U.K. at 4.8600%, down 0.10%
Japan at 2.705%, up 0.56%
Commodities:
Brent Oil Futures (Aug) at $94.80, up 2.76%.
Crude Oil WTI Futures (Jul) at $91.10, up 2.73%.
Gold Futures (Aug) at $4,420.32, down 1.37%.
Silver Futures (Jul) at $73.41, down 1.98%.
Cryptocurrencies:
Bitcoin at $73,281.76, down 3.45%
Ethereum at $1,985.98, down 4.57%
BNB at $631.92, down 3.42%
XRP at $1.28, down 3.34%
Solana at $80.67, down 3.99%
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