Financial markets started the week with a more constructive tone as optimism surrounding a potential US-Iran agreement fueled expectations of a reopening of the Strait of Hormuz.

Rising energy prices and persistent inflation pressures continued to reshape market expectations as Middle East tensions pushed oil higher and strengthened the case for tighter central bank policy.

Strong US payrolls reinforced confidence in the broader economy, yet tensions around the Strait of Hormuz continued to shape sentiment across currencies, commodities, and bond markets.

A volatile start to the week, where currencies, energy, and policy signals are pulling markets in different directions.

Continued tension in the Strait of Hormuz kept energy prices high and inflation risks in focus.

Commodity markets continued to swing between relief and renewed uncertainty, with each shift in the United States–Iran narrative quickly feeding into pricing.

Economic markets are moving in a tighter loop where energy supply, inflation pressure, and policy expectations feed directly into one another.

Energy tension continues to influence price behavior across currencies, commodities, and bond markets.