Middle East Turmoil Keeps Markets In Risk-Off Mode
Fear levels are subsiding across global financial markets after Iran launched at least 180 ballistic missiles at Israel yesterday without inflicting large numbers of casualties or causing significant damage to infrastructure. Oil prices remain elevated, Treasuries are in demand, and the dollar is holding its gains after the attack triggered a flight to safety – but trading ranges are narrowing, and price action could easily reverse if the geopolitical escalatory cycle shows signs of slowing in the days ahead. The threat of a retaliatory attack on Iranian oil infrastructure could keep prices somewhat elevated, but the risk of a sustained...