Morning Note: A Round-up of Global Financial Market News.
Market News
Oil rose for a fifth day as concerns grew that the US and Iran were making little progress toward resuming talks on de-escalation, keeping the Strait of Hormuz effectively closed. Brent Crude currently trades at $106 a barrel. A US-sanctioned tanker carrying 2m barrels of Iranian oil is attempting to transit the strait today.
Donald Trump’s social media posts and threats are hindering Tehran’s willingness to engage in peace talks, officials said. Israel and Lebanon will extend their ceasefire by three weeks, Trump said, creating space for broader talks and easing an obstacle to ending the US-Iran war.
Elevated energy prices have heightened inflation risks and bolstered expectations of potential central bank rate hikes. The dollar advanced and the yield on the US 10-year Treasury rose to 4.33%. Gold slipped back to $4,670 an ounce.
A large release from US emergency oil reserves is feeding refiners in Europe and potentially Asia. Trading houses sold at least 4m barrels of medium-grade SPR crude to Europe and are seeking buyers in Asia, people familiar said.
Asian shares fluctuated – Nikkei 225 (+1.0%); Hang Seng (+0.2%); Shanghai Composite (-0.1%) – after losses on Wall Street – S&P 500 (-0.4%); Nasdaq (-0.9%). Intel surged 20% post-market after its quarterly revenue forecast beat estimates, driven largely by the AI build-out.
The FTSE 100 is currently 0.4% lower at 10,410, while Sterling trades at $1.3465 and €1.1525. UK retail sales unexpectedly rose 0.7% in March, reversing a revised 0.6% decline the previous month and defying economists’ expectations of no change. Growth was driven by motorists stocking up on fuel and a pick-up in clothing sales.
Source: Bloomberg
