Topics Market Pulse

Markets swayed by yet another Trump flip-flop on Iran

Початковий
Market Pulse
Daily Bits
31 de mar de 2026

Markets are reacting to a Wall Street Journal report that US President Donald Trump may consider bringing the curtains down on the US military campaign against Iran, even if the Strait of Hormuz isn't re-opened.

Risk-taking activities across asset classes were also aided by overnight comments from Fed Chair Jerome POwell, who sought to calm market concerns over near-term inflation risks stemming from higher oil prices.

Update on "3 Assets to Watch" (published Mon, March 30th)

1) Nikkei225 little changed after mixed Japanese economic data

Japan's benchmark stock index is little changed after the Japanese economy reported earlier today:

  • Lower-than-expected Tokyo March CPI (the "consumer price index" measures headline inflation)

  • Lower-than-expected jobless rate for February (2.6% vs. Forecasted 2.7%)

  • Weaker-than-expected retail sales and industrial production in February

This mixed outlook for the Japanese economy, in light of ongoing risks stemming from the Middle East conflict, is leaving the Japanese Yen and the benchmark Nikkei225 stock index little changed.

At the time of writing, the Nikkei225 has climbed 2.3% so far in 2026, notably lower than the 19% year-to-date gain it held prior to the start of the Iran war.

Stock markets worldwide have erased about US$ 14 trillion in collective value since the start of the Middle East conflict.

DID YOU KNOW: Traders can also potentially profit from falling prices by "shorting" an asset? Tap "sell' first, "buy" later to close the "short" position.

See potential upside and downside trade scenarios for the Nikkei225 here (published Monday, March 30)