From Marc to Market:
The Middle East war continues to dominate the investment environment. The dollar is firm. Equities are lower. Yields are higher. The disruption of trade through the Strait of Hormuz is forcing oil producers to shut down output due to limited storage capacity. Sulfur and urea supplies are also being disrupted, as is natural gas and this is having a knock-on effect on agriculture prices.
Reports suggest the G7 may seek to coordinate a release of strategic reserves, but that is seen as only a temporary reprieve and no substitute for re-opening the Strait of Hormuz. The risk-off mood prevails. Stagflation is the main economic scenario being discussed. Heightened volatility across the capital markets also serves to reduce liquidity....
....MUCH MORE
