Iran war uncertainty rattles global markets

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Global markets are facing a broad risk-off episode driven by concerns about slowing growth, elevated inflation and geopolitical instability. Reuters reported that the Nasdaq suffered its sharpest one-day decline since April 2025, while borrowing costs rose sharply and European economic data weakened. Investors are particularly focused on whether tensions surrounding the Iran war de-escalate; a renewed conflict could push oil prices higher and intensify inflationary pressure. The market turmoil is also colliding with major upcoming economic releases, including U.S. inflation data, and broader political and climate events that could further shape sentiment.

Sources: Reuters