Oil Surge Rocks Global Markets: Stocks, Bonds Plummet Amid Inflation Fears

• Global stocks, bonds, and metals fell as crude oil prices surged due to escalating Iran war concerns.
• Central banks may be forced to tighten policy to control inflation, impacting interest rate decisions.
• Short-dated bonds led losses, with two-year Treasuries climbing and UK yields increasing significantly.
• S&P 500 dropped 1%, European shares fell over 2%; Brent crude topped $112, natural gas rose.
• Fed Chair Jerome Powell signaled no rate cuts until inflation cools; BNP Paribas suggests potential Fed hike if energy prices remain high.