Financial Markets Daily Report24 March 2026
Yesterday’s session saw a sharp turnaround in sentiment. Markets initially opened under pressure, with equities declining and sovereign yields rising amid escalating tensions in the Middle East and rising energy prices. Sentiment shifted after President Trump announced a temporary halt to planned strikes on Iranian energy infrastructure, following reports of constructive talks between the Washington and Tehran. Brent prices quickly fell just below $100/barrel.
Equity indices in the euro area opened down but rallied after the announcement, to close modestly higher, alongside US equities. Asian markets, which closed before the news, ended sharply lower, but have opened with gains as of this morning.
Government bond yields declined on both sides of the Atlantic, as easing geopolitical risks reduced near-term inflation concerns. In currency markets, the dollar weakened against peers, leaving the EUR/USD cross trading close to 1.16. Today, the focus will remain in the Middle East and will be also in the release of March PMIs for several countries.