The shape of U.S. "re-inflation" pressures amid the Middle East upheaval

WealthCoffee · 2026-03-12T02:31:55+00:00

The situation in the Middle East has suddenly changed, with Iran's situation worsening, the Supreme Leader being killed, leading to military conflicts and the closure of the Strait of Hormuz. Global markets are volatile, with oil prices soaring from $70 to over $90, and U.S. Treasury yields rebounding. There is high uncertainty in the short term.

WealthCoffee

2026-03-12 02:31:55

Abstract generation in progress

Since the end of February, the situation in the Middle East has changed dramatically, causing a surge in global oil prices and a rebound in U.S. Treasury yields. Since February 2026, the situation in Iran has rapidly deteriorated, escalating from diplomatic tensions to military conflict. On February 28, Iran’s Supreme Leader Khamenei was killed. On the same day, the Iranian Revolutionary Guard announced the closure of the Strait of Hormuz. The conflict is ongoing, and the short-term outlook remains highly uncertain. The geopolitical conflict has caused major shocks in global markets, with Brent crude oil prices soaring from $70 per barrel at the end of January to over $90 per barrel. Market-wise, in February, the 10-year U.S. Treasury yield declined due to safe-haven flows, but in early March, it began to reflect the surge in oil prices. The Federal Reserve’s rate cut expectations also adjusted downward as the 2-year U.S. Treasury yield rebounded.

Recommend accessing Caixin’s database for real-time macroeconomic data, stocks, bonds, corporate profiles, and financial statistics.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

1 Likes