Oil prices dropped 5% to $83.49 per barrel after President Trump delayed strikes against Iran, easing inflation concerns and boosting US stocks. The S&P 500 rose 1.5%, Dow Jones gained 1.1%, and Nasdaq composite increased 2.2%. Companies with high fuel costs, like airlines, led the market rally.
Asian markets saw gains Friday, boosted by optimism over US-Iran peace talks. However, rising oil prices and inflation worries persist, impacting interest rate expectations. Samsung workers voted on a wage deal, while Japan's inflation slowed.
Dalal Street anticipates a volatile week driven by the US-Iran conflict, foreign investor activity, rising crude oil prices, inflation, and a falling rupee. Analysts expect continued pressure on investor sentiment.
The pound dropped 2% to a 5-week low at $1.336 amid expectations of a leadership challenge to UK PM Keir Starmer by Manchester Mayor Andy Burnham, sparking concerns over potential loosening of fiscal rules and increased borrowing.
Asian markets traded mixed on Wednesday due to fading AI momentum, elevated oil prices, and inflation concerns, with Japan's Nikkei 225 edging up and South Korea's Kospi gaining.
