Wall Street Wobbles: Oil Rally Deepens, Iran War Clouds Fed Rate-Cut Hopes

• US equity futures and Asian stocks declined as oil prices rallied and private credit market strain weighed on investor sentiment.
• Oil gained for a second day due to escalating rhetoric over the Iran war, raising concerns about prolonged conflict despite emergency crude releases.
• The Iran war complicates the Federal Reserve’s path on interest rates; traders now anticipate only one rate cut this year.
• Morgan Stanley capped redemptions from a private credit fund, adding to industry concerns over loan quality.
• The US plans to release 172 million barrels from its emergency oil reserve as part of a global 400 million barrel IEA release to ease surging prices.