The Pentagon is preparing a new round of major combat operations targeting Iranian energy, infrastructure, and nuclear sites. Brent crude oil prices surged to $104 per barrel on fears of escalating conflict. In Europe, France’s 10-year bond yield rose to 4.92%, signaling a looming debt crisis and sovereign contagion risk. Global equity markets sold off sharply: South Korea’s KOSPI fell 2.62%, Japan’s Nikkei 225 dropped 1.42%, and S&P 500 futures declined 0.39%. This geopolitical escalation is fueling investor concerns about inflationary pressures and the potential for recession-inducing monetary policy responses from central banks.
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