Gold Prices Steady as U.S.-Iran Tensions Lift Inflation Risks 
Treasury Yields Set to Stay High as Debt Supply Pressures Bond Market 
Ukraine Sanctions Chief Heads to Washington to Push Russia Bill 
Asian Currencies Mixed as Yen Nears 160, Oil Surges 
China Manufacturing PMI Contracts Again as Recovery Remains Fragile 
Australia GDP Beats Forecast, Boosting RBA Rate Hike Bets 
Gold Prices Slide as Iran Conflict Fuels Fed Rate Hike Bets 
Asian Stocks Slip as Fed Rate Hike Bets and Oil Surge Weigh 
Japan Bond Yields Top 3% as Inflation, Fiscal Risks Rise 
Dollar Hits Two-Week High as Iran Conflict Lifts Oil and Bond Yields 
Asian Currencies Weaken as Dollar Rises, Kiwi Slides After RBNZ Hike 
US Tech Giants’ AI Bond Boom Raises Euro Zone Borrowing Risks 
Bank of England Sees Surge in Higher-Risk Collateral 
India Manufacturing Growth Slows to Five-Year Low in August 
Dollar Holds Near Two-Week High as Fed Rate Hike Bets Rise 
South Korea Inflation Rises to 3.1% in August 
Australia Current Account Deficit Widens to A$27.2 Billion 
Add as a preferred source on Google
British stocks declined on Wednesday as escalating military tensions between the United States and Iran pushed oil prices higher and weakened investor appetite for risk across European markets.
The FTSE 100 fell 0.30% by 07:18 GMT, while Germany’s DAX dropped 0.22% and France’s CAC 40 declined 0.16%. Sterling also weakened 0.12% against the U.S. dollar to $1.3501.
European markets followed losses on Wall Street, where the S&P 500 fell 0.7% on Tuesday. Jefferies noted that 10-year U.S. Treasury yields climbed above 4.80%, adding pressure to risk assets.
Geopolitical concerns intensified after Iran’s Islamic Revolutionary Guard Corps said it targeted U.S. bases in the UAE with drones. Iran also claimed strikes against U.S. facilities in Erbil, Iraq, while Kuwait reported that a drone attack caused a residential fire in Kuwait City, with no casualties.
Meanwhile, the Sidr and Senegal Prosperity tankers were reportedly struck by projectiles in the Strait of Hormuz. ING analysts Warren Patterson and Ewa Manthey said the incidents, combined with additional U.S. strikes on Iranian targets, were adding a geopolitical risk premium to crude prices.
CENTCOM said Tuesday’s U.S. attacks targeted IRGC air-defense sites, radar systems, maritime assets and communications infrastructure. Iran said five people were killed and around 50 wounded at a wedding near Sirik, while another 11 deaths were reported following strikes in Khuzestan.
President Donald Trump warned Iran of a potentially devastating response and claimed the U.S. had “almost total control” of the Strait of Hormuz.
Brent crude rose 0.37% to $95 a barrel, while U.S. crude edged 0.06% higher to $90.27. Spot gold was little changed at $4,327.33 an ounce, while gold futures declined 0.52% to $4,374.09.
Among UK corporate developments, BP appointed Ian Tyler as chairman. Ryanair lowered its fiscal 2027 passenger target to 214 million from 216 million, citing elevated unhedged oil prices, and warned that short-haul airfares could rise.
