- Equities fell, Treasuries rose, and oil surpassed $90 per barrel amid fears that the conflict between Israel and Hamas could escalate into a regional conflict.
- US equity futures fell slightly, while Europe's STOXX 600 Index fell 1%. Treasuries rose, led by 10-year debt, and gold drew closer to $2,000 per ounce. Bitcoin is getting closer to $30,000. The dollar has slowed its advance.
- Reports of more clashes in the Middle East alarmed investors, with the Pentagon reporting an increase in drone attacks in Iraq and Syria. An American destroyer also shot down cruise missiles and drones launched towards Israel by Houthi militants based in Yemen.
- A volatile week in markets has seen Middle East events drive volatility in oil prices and push investors away from riskier assets and towards safe havens such as gold. At the same time, 10-Yr Treasury yields have risen 30 basis points as traders prepare for the Federal Reserve to raise interest rates for an extended period of time in order to cool inflation. Chair Powell said on Thursday that the Fed is likely to keep interest rates unchanged at its next meeting while it monitors key economic data.
- BoE Gov. Bailey: I expect a marked fall in inflation next month - Belfast Telegraph.
