Analysis: Under US-Iran conflict, market fatigue is gradually emerging, reinforcing the global expectation that 'high interest rates will persist for longer'

Odaily Odaily Planet Daily News Bank of New York Mellon analyst Bob Savage pointed out in a research report that the market is showing increasing signs of fatigue. Bob Savage stated that the renewed escalation of the US-Iran military conflict, rising bond yields, and hawkish guidance from central banks are putting pressure on both stock and fixed-income markets. Meanwhile, investors are reassessing the sustainability of the rebound in global risk assets."

Central banks are increasingly focusing on the persistence of inflation caused by energy shocks and stronger economic growth, further reinforcing the global market expectation that 'high interest rates will remain in place for longer.'" He pointed out that the renewed exchange of fire between the US and Iran has pushed up oil prices, the US dollar exchange rate, and US Treasury yields. At the same time, concerns over supply disruption risks around the Strait of Hormuz, coupled with reduced strategic reserves, are keeping the energy market in a state of turmoil. (Jinshi)