Most Asian markets fell on Monday morning due to rising concerns over oil prices and the potential escalation of the conflict between the United States and Iran. This decline followed sharp losses on Wall Street on Friday, marking the fifth consecutive week of declines for U.S. markets.
Global markets are witnessing an increase in geopolitical risks due to the ongoing conflict in Iran, raising concerns about the stability of the world economy. Economic experts warn that rising energy prices negatively impact consumers and slow economic growth, with China emerging as a key player in shaping the outcomes of this conflict.
The Indonesian National Banks Association (Perbanas) has confirmed that the banking sector is enhancing precautionary measures to address rising geopolitical risks, particularly between Iran and Israel, influenced by the United States. This comes as energy prices rise and financial markets fluctuate.
Mark Haefele, the Chief Investment Officer at UBS, stated that clients have shown no signs of panic or concern regarding the risks associated with the conflict in Iran. He noted that liquidity levels have not increased, indicating market stability.
The World Gold Council has reported that central banks are set to boost their gold holdings as a hedge against a declining dollar and rising geopolitical risks, with new banks entering the market.