Brent crude prices climbed in early Asian trading on Tuesday, reversing recent losses as market sentiment shifted sharply away from hopes of a diplomatic resolution between the United States and Iran.
The retreat in peace prospects has reignited supply-risk premiums, pushing energy markets higher after a period of easing tensions.
2%, as investors simultaneously digested the geopolitical shift and repriced expectations for Federal Reserve policy.
Equity markets moved in the opposite direction.
MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.5%, reflecting broader risk-off sentiment.
In the US, S&P 500 e-mini futures slipped 0.2%, as investors simultaneously digested the geopolitical shift and repriced expectations for Federal Reserve policy.
The dual pressure from rising energy costs and shifting rate outlooks weighed on growth-sensitive sectors.