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Stocks mixed as Iran ceasefire extension clouds outlook

Global markets were grappling with ongoing Middle East uncertainty on Wednesday, as most Asia-Pacific indices traded lower despite Japan’s Nikkei 225 touching a fresh record high. Investors remained focused on the Iran conflict after US President Donald Trump extended the ceasefire while keeping a naval blockade in place, a move that has prolonged uncertainty around the Strait of Hormuz and kept geopolitical risk premia elevated across asset classes. European stocks closed lower on Tuesday amid weaker German and euro-area economic sentiment, while US indices also ended in negative territory, though futures were pointing to a modest rebound. In commodities, oil prices eased from recent highs, but gold and silver advanced and bitcoin also gained, underscoring persistent demand for perceived safe havens.

  • Data
  • Autore Shane Strowmatt, Senior Investment Writer
  • Tempo di lettura 5 minuto

Market chart
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Japan’s Nikkei 225 reached a fresh record high on Wednesday, ending 0.3% higher, after trade data showed a seventh consecutive monthly increase in exports and a trade surplus of 667 billion yen, below the surplus that economists had projected. Korea’s Kospi was also 0.3% higher, while China’s CSI 300 was trading 0.4% higher. Those advances contrasted with broader weakness across the Asia-Pacific region, where markets such as Australia’s S&P/ASX 200, Hong Kong’s Hang Seng Index and India’s Nifty 50 all fell, weighed by concerns that the conflict between the US and Iran could be prolonged despite US President Donald Trump’s decision to extend the ceasefire and maintain a naval blockade. Oil prices, which had risen earlier, lost ground, with Brent crude oil futures trading around USD 97.33 and West Texas Intermediate (WTI) futures near USD 88.31 per barrel. Gold was trading higher, around USD 4770 per ounce on Tuesday, while silver also gained and bitcoin gained more than 3% to around USD 78,100.

US equities pressured by Middle East tensions

US stocks declined on Tuesday as investors grew more cautious ahead of the scheduled expiry of a two-week ceasefire in the Iran conflict, with the Dow Jones Industrial Average falling 0.6% to 49,149.38 points, the S&P 500 losing 0.6% to 7064.01 points and the Nasdaq 100 slipping 0.4% after briefly reaching another record high. Market sentiment improved slightly after the close, when US President Donald Trump signalled that the US would hold off on new strikes at Pakistan’s request while awaiting a unified proposal from Iran’s leadership. At the single-stock level, Apple dropped 2.5% after announcing that long-serving chief executive Tim Cook will hand over operational leadership to hardware chief John Ternus in September.

German economic sentiment weakens further

German investor expectations deteriorated again in April, with the ZEW Indicator of Economic Sentiment dropping to minus 17.2 points, 16.7 points lower than in March, according to survey results released on Tuesday. The gauge of the current economic situation in Germany also worsened, falling by 10.8 points to minus 73.7, as concerns mounted over the broader impact of the Iran war on energy security, investment and the effectiveness of fiscal support. Economic expectations for the eurozone mirrored Germany’s weakness, with the regional sentiment index sliding by 11.9 points to minus 20.4 and the assessment of the current situation dropping by 13.1 points to minus 43. European stock indices ended lower on Tuesday. The Euro Stoxx 50 fell 1%, while Germany’s DAX declined 0.6% and France’s CAC 40 lost 1.1%. The Swiss Market Index decreased by 1.1%

UK unemployment falls but war clouds outlook

UK unemployment declined to 4.9% in the three months to February, down from 5.2% previously and the lowest level since last summer, according to data released on Tuesday, while regular pay growth eased to 3.6% year on year, the weakest increase in more than five years. The Office for National Statistics said the drop in unemployment largely reflected higher economic inactivity, which rose to 21% as fewer students sought work, rather than a broad-based improvement in hiring. Total pay growth including bonuses slowed to 3.8%, and private sector wage growth eased to 3.2%, a pace the Bank of England has signalled is compatible with its 2% inflation target.

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