Global Stocks Fall as Vessel Attacks Lift Oil: Markets Wrap
(Bloomberg) — Stocks retreated across the world as oil prices kept rising amid widening disruptions to crude transport operations in the Middle East. A gauge of global bonds erased its 2026 advance.
S&P 500 futures fell 0.6% while European stocks dropped 0.7%. An index of Asian shares was 1.3% lower. Brent briefly jumped back above $100 a barrel as Iraq suspended oil terminal activity following an attack on two tankers. Oman temporarily evacuated a key export hub, while Iran escalated attacks on Dubai.
Oil is surging as concerns deepen that the war in the Middle East could disrupt energy markets for a prolonged period, with efforts to cushion the impact so far offering little relief. The commodity is driving moves across broader markets, fueling fears that energy prices will rekindle inflation and hit economic growth.
The conflict is creating unprecedented turmoil in oil markets, affecting 7.5% of global supply and an even bigger swath of exports, the International Energy Agency said.
“What you’re seeing is the market pricing a long-lasting scenario of high oil prices,” said Karen Georges, an equity fund manager at Ecofi in Paris. “The security of shipping in the region is a big concern while the release of emergency oil reserves can only provide temporary relief.”
The dollar remained the haven of choice, rising 0.2%. Gold was flat. European bond yields tracked their Asian counterparts higher. US Treasuries were little changed, with the 10-year rate at 4.23%.
A Bloomberg index that tracks total returns from investment-grade government and corporate bonds is now flat for 2026. The gauge had been up as much as 2.1% this year through Feb. 27, just before the US and Israel attacked Iran.
Any sustained pickup in price pressures may make it harder for the Federal Reserve to justify resuming interest-rate cuts in coming months, with money markets seeing only one reduction for 2026.
“There is nowhere to hide safely,” wrote Ipek Ozkardeskaya, a senior analyst at Swissquote. “Taking oil and energy prices as given, the longer they remain high, the shorter market rebounds are likely to be and the greater the risk of a notable market correction.”
Mounting strain in the private credit market also weighed on sentiment as Morgan Stanley and Cliffwater LLC capped withdrawals from their multibillion-dollar private credit funds. The industry has been hit by a wave of redemption requests amid growing worries over the quality of loans.
What Bloomberg Strategists Say:
“For now, markets are looking through attempts by European governments to stem the rise in energy and food prices with measures seen as piecemeal in comparison to the disruptions in the Strait of Hormuz.”
— Adam Linton, macro strategist. For full analysis, click here.
Corporate News:
BMW AG sees little room for improving carmaking profitability this year due to tariffs and intensifying competition in China. Cursor, a leading artificial intelligence startup for coding, is in talks with investors for a funding round that would value the startup at about $50 billion, nearly double the valuation it secured last fall, according to people familiar with the efforts. JPMorgan Chase & Co. and UBS Group AG cut prime brokerage ties with the investment firm that was raided by authorities during a probe into alleged insider dealing in Hong Kong well before the investigation was made public, according to people familiar with the matter. Honda Motor Co. expects charges of up to ¥2.5 trillion ($15.7 billion) as it rethinks its electric vehicle strategy, with the Japanese carmaker joining a growing list of global brands battered by the unraveling EV transition. Bumble Inc. rose 25% in premarket trading after unveiling a new AI-powered assistant designed to act as a personal matchmaker. Some of the main moves in markets:
Stocks
The Stoxx Europe 600 fell 0.7% as of 9:14 a.m. London time S&P 500 futures fell 0.6% Nasdaq 100 futures fell 0.6% Futures on the Dow Jones Industrial Average fell 0.6% The MSCI Asia Pacific Index fell 1.3% The MSCI Emerging Markets Index fell 1.2% Currencies
The Bloomberg Dollar Spot Index rose 0.2% The euro fell 0.2% to $1.1546 The Japanese yen was little changed at 158.90 per dollar The offshore yuan was little changed at 6.8782 per dollar The British pound fell 0.3% to $1.3375 Cryptocurrencies
Bitcoin fell 1.3% to $69,711.63 Ether fell 1.3% to $2,042.87 Bonds
The yield on 10-year Treasuries was little changed at 4.23% Germany’s 10-year yield was little changed at 2.94% Britain’s 10-year yield advanced four basis points to 4.73% Commodities
Brent crude rose 6.4% to $97.90 a barrel Spot gold was little changed This story was produced with the assistance of Bloomberg Automation.
©2026 Bloomberg L.P.
