Global financial markets are falling today mainly for two reasons that go hand in hand:
Pricier oil and geopolitical conflicts: Tensions rose again after President Donald Trump rejected an Iran peace proposal. This raised alarms about a possible energy shortage in the Strait of Hormuz and pushed the price of Brent crude oil above $107.
Pressure from rising bond yields: The yield on U.S. debt continues to climb (the 30-year rate is nearing 5.5%). When this happens, borrowing becomes more expensive, fears grow that inflation will rise, and many investors prefer to pull their money out of stocks to keep it in safer options.
For these reasons, the main Wall Street indexes (the S&P 500, the Dow Jones, and the Nasdaq) opened in the red, spreading pessimism to stock exchanges around the world and to other higher-risk assets.
$NVDAB #PAXGTrading
Pricier oil and geopolitical conflicts: Tensions rose again after President Donald Trump rejected an Iran peace proposal. This raised alarms about a possible energy shortage in the Strait of Hormuz and pushed the price of Brent crude oil above $107.
Pressure from rising bond yields: The yield on U.S. debt continues to climb (the 30-year rate is nearing 5.5%). When this happens, borrowing becomes more expensive, fears grow that inflation will rise, and many investors prefer to pull their money out of stocks to keep it in safer options.
For these reasons, the main Wall Street indexes (the S&P 500, the Dow Jones, and the Nasdaq) opened in the red, spreading pessimism to stock exchanges around the world and to other higher-risk assets.
$NVDAB #PAXGTrading