Markets Shrug Off US Attack on Iranian Nuclear Facilities
The weekend’s US bombing raids on Iran left measures of global risk appetite essentially unchanged, suggesting that traders expect Tehran to respond in a limited fashion. Both the Brent international crude benchmark and the North American West Texas Intermediate grade are ratcheting lower, with front-month prices slipping to $77 per barrel and $73 respectively after briefly hitting five-month highs in overnight trading. Treasury yields are holding steady, North American equity futures are pointing to a solidly-positive open, and the dollar is trading only modestly higher against a basket of its major counterparts. Headline risks remain substantial, but we think a...