Key highlights
Oil jumped more than 6% after the Iran strikes, pushing yields higher as investors reassessed inflation risks.
Jamie Dimon said a major inflation hit is unlikely unless disruptions are prolonged, while warning that energy and cyber risks remain elevated.
Bitcoin rebounded as some commentators framed the move as a shift toward hard assets alongside gold and the dollar.
Markets moved to price in higher inflation risk after U.S.-Israeli strikes on Iran, with oil rising more than 6% and Treasury yields edging higher as investors reassessed the outlook for rate cuts.
Investors focused on the risk of energy disruption, including concerns about shipping routes, as higher oil prices can feed into inflation expectations and keep central banks cautious about easing.
JPMorgan CEO Jamie Dimon said it is unlikely the conflict will become “a major inflationary hit” unless the disruption is prolonged, while also flagging broader risks, including potential cyber retaliation.
Bitcoin rose on the day, with some market commentary framing the move as part of a broader shift toward hard assets amid geopolitical uncertainty, even as higher-for-longer rates remain a headwind for risk assets.
