Markets Buffeted by War, AI Stress and Credit Cracks All at Once

Bloomberg

Mar 10

As Monday dawned, the mood in financial markets was grim. Oil had suddenly skyrocketed to just shy of $120 a barrel and stock futures were plunging as the war raged in the Middle East. By the end of ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

{"basename":"","ssrTDKData":{"titleTemplate":"%s - Tiger Brokers","title":"Tiger Brokers | Global Stocks, Options & Futures Trading App","description":"Tiger Brokers, one-stop investment in US stocks, SGX stocks, HK stocks, A-shares & other global assets. One of the best stock trading platforms in Singapore.","keywords":"tiger brokers,tiger trade,tiger brokers singapore,broker online,stock trading in singapore,share trading singapore,brokerage firm singapore,trading app,stock broker singapore,stock trading platforms,trading account","social":{"ogDescription":"Tiger Brokers, one-stop investment in US stocks, SGX stocks, HK stocks, A-shares & other global assets. One of the best stock trading platforms in Singapore.","ogImage":"https://c1.itigergrowtha.com/portal5/static/media/og-logo.be62fbe1.png","ogUrl":"https://www.itiger.com/news/1138743433"},"companyName":"Tiger Brokers"},"pageData":{"isMobile":false,"isTiger":false,"isTTM":true,"region":"SGP","license":"TBSG","edition":"fundamental"},"isCrawlerRequest":true,"__swrFallback__":{"@#url:\"https://stock-news.skytigris.cn/v3/news\",params:#id:\"1138743433\",edition:\"fundamental\",auth_exemption:1,,,undefined,":{"share":"https://ttm.financial/m/news/1138743433?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2026-03-10 10:25","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"1138743433","market":"us","top_or_hot":-1,"title":"Markets Buffeted by War, AI Stress and Credit Cracks All at Once","media":"Bloomberg","content":"<div>\n<p>As Monday dawned, the mood in financial markets was grim. Oil had suddenly skyrocketed to just shy of $120 a barrel and stock futures were plunging as the war raged in the Middle East. By the end of ...</p>\n\n<a href=\"https://www.bloomberg.com/news/features/2026-03-10/iran-war-ai-disruption-private-credit-shock-markets-at-the-same-time\">Source Link</a>\n\n</div>\n","source":"lsy1584095487587","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Markets Buffeted by War, AI Stress and Credit Cracks All at Once</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nMarkets Buffeted by War, AI Stress and Credit Cracks All at Once\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-03-10 10:25 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.bloomberg.com/news/features/2026-03-10/iran-war-ai-disruption-private-credit-shock-markets-at-the-same-time><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>As Monday dawned, the mood in financial markets was grim. Oil had suddenly skyrocketed to just shy of $120 a barrel and stock futures were plunging as the war raged in the Middle East. By the end of ...</p>\n\n<a href=\"https://www.bloomberg.com/news/features/2026-03-10/iran-war-ai-disruption-private-credit-shock-markets-at-the-same-time\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":".IXIC","symbol_name":"NASDAQ Composite","start_time":0,"source_url":"https://www.bloomberg.com/news/features/2026-03-10/iran-war-ai-disruption-private-credit-shock-markets-at-the-same-time","article_id":"1138743433","we_media_id":null,"thumbnails":[],"rights":{"source":"lsy1584095487587","url":"https://www.bloomberg.com/news/features/2026-03-10/iran-war-ai-disruption-private-credit-shock-markets-at-the-same-time","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=1138743433","pubTimestamp":1773109526,"columns":[],"sourceInfo":{"source_id":"lsy1584095487587","name":"Bloomberg"},"weMediaInfo":null,"summary":"As Monday dawned, the mood in financial markets was grim. Oil had suddenly skyrocketed to just shy of $120 a barrel and stock futures were plunging as the war raged in the Middle East. By the end of...","collect":0,"end_time":0,"defaultTopTitle":"bloomberg.com","property":[],"viewcount":null,"language":"en","relate_stocks":{".IXIC":"NASDAQ Composite","NDX":"纳斯达克100指数",".DJI":"道琼斯",".SPX":"S&P 500 Index"},"translate_title":"市场同时受到战争、人工智能压力和信贷紧缩的打击","themeId":"19daa5432d6407bbd6baabbbe2cf6e42","isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"YMmain":2,".SPX":2,".DJI":2,"NDX":2,".IXIC":2,"ESmain":2,"MNQ2603":2,"MNQ2612":2,"MNQmain":2,"NQmain":2},"content_text":"As Monday dawned, the mood in financial markets was grim. Oil had suddenly skyrocketed to just shy of $120 a barrel and stock futures were plunging as the war raged in the Middle East. By the end of the day, President Donald Trump had signaled the conflict was nearing an end, oil had retreated to below $90 and the S&P 500 had posted its biggest one-day rally in a month.“You can’t predict how this stuff is going to go,” said Gregory Faranello, head of US rates at Amerivet Securities. And yet even for those relieved by the sudden turnaround, a sobering reality remained: Trump's decision to attack Iran, no matter what he may now declare, has injected a new and potentially long-lasting shock into the global economy at a time when investors were already grappling with an array of forces threatening to upend investor confidence that, until recently, had seemed bulletproof.There’s the emergence of AI as a disruptive technology capable of suddenly wiping out, as well as creating, wealth for shareholders and creditors. There are the soured loans that are starting to pop up in growing numbers in the booming private-credit industry. There's the softening of the US job market. And there's the stubbornly high inflation that's casting doubt on whether the Federal Reserve will be able to resume cutting interest rates — and possibly even force European central banks to start raising them.Each shock alone may be manageable. But together, they are creating new fragilities in global markets that no single policy lever can fix, making it different than, for instance, the rout sparked a year ago by Trump’s tariff rollout. “That is the issue,” said Amy Wu Silverman, head of derivatives strategy at RBC Capital Markets. “Even if Iran starts to fade into the background, we have several other issues to contend with.”Since the pandemic, markets have often tumbled on recession fears, only to recover when they proved off base. Nothing guarantees this time is different. And even within the most battered corners of the market, some investors are already watching for entry points — particularly in software stocks, where the selloff may have overshot the actual pace of AI disruption. But the sheer number of forces hitting at once — and the absence of any clear policy fix for any of them — makes the old playbook harder to trust.The Iran war, to be clear, appears far from over. While Trump expressed optimism Monday evening that the war was going well and would end “very soon,” it’s unclear whether he’ll be able to negotiate an end to the hostilities with the Iranian government. Over the weekend, the country’s Assembly of Experts picked Mojtaba Khamenei, the hardline son of the assassinated Ayatollah Ali Khamenei, as the country’s new supreme leader.The Oil ShockThe energy shock — regardless of the retreat late Monday — is the most immediate of the three threats. The Strait of Hormuz, which carries roughly 20 million barrels of oil per day — a major share of global seaborne trade — is effectively closed. As countries like Kuwait and the United Arab Emirates reduced production in response, Brent oil soared over $119 Monday, roughly twice what it was in early January, before easing.Even if oil prices continue to retreat from Monday's highs, the damage from weeks of disruption is already broadening. Higher crude raises costs for manufacturers, airlines and logistics firms, compresses margins for consumer businesses that cannot pass prices through fast enough, and functions as a tax on household spending.The hit is especially severe in Asia and Europe, which are far more dependent on energy imports than the US — and where stock losses over the past week have been the most acute. For the semiconductor manufacturers that underpin the AI trade, the shock is structural: chip production is energy-intensive, and the plants producing the world’s most advanced processors depend on liquefied natural gas from the region.The oil shock sent inflation expectations climbing and turned speculation that central banks would keep cutting rates into concern that hikes might be needed. At one point on Monday, UK traders priced in almost a full quarter-point hike this year — a complete reversal from bets on two cuts just days earlier. In the euro area, markets briefly priced in two European Central Bank hikes.Even if those moves partially reverse, their speed and scale underscored how quickly the economic outlook can shift. The word that kept resurfacing in trading floors and research notes was stagflation — rising prices and slowing growth arriving simultaneously — because the economic backdrop was already softening before oil spiked. Even in the US, which has posted solid growth for five straight years, payrolls unexpectedly declined in February.“What we have seen over the last week can best be described as the re-calibration of the clearing price of global macro risk,” said Moyeen Islam, a strategist at Barclays.The second shock had already been rattling markets for weeks before the US and Israel began bombing Iran.Since early February, growing anxiety about AI-driven disruption has unsettled investors. The fear suddenly isn’t that AI will fail to deliver. It’s that it will soon start to succeed, and in doing so, upend the business models of incumbent companies across software, professional services, media and finance — each of which were hit by stock-price drops when nervous investors rushed to the exit.That has also been showing up in the credit market. Corporate junk-bond spreads had already started growing before the war and are up by half a percentage point from January’s lows, fueled by concerns that AI will erode the earnings of heavily indebted companies.The impacts of the war are now adding to the uncertainty and hitting Asian markets that gained from the surge of spending on the semiconductors that power AI. Foreign investors pulled billions from emerging Asian stocks excluding China last week. Chip factories consume enormous energy and are located in countries whose currencies are being crushed by the strong dollar.The shock has a particular cruelty: it hurts both the disruptors and the disrupted. The companies building AI infrastructure are exposed to energy costs and Asian supply chains. The companies being disrupted by AI are seeing their creditworthiness questioned.The Crack BeneathThen there's private credit, the nearly $2 trillion market where non-bank lenders fund companies, big and small. It had been showing signs of strain for a while, prompting investors to start pulling out funds. Defaults in US private credit climbed to 5.8% in the 12 months through January, according to Fitch Ratings, the highest rate since it began tracking them in August 2024. And the industry’s heavy exposure to software companies has fanned concern that unseen risks have built up in what’s effectively a shadow banking system.The oil shock may worsen the strains. Higher energy costs raise operating expenses for many of the companies that private credit lends to. The specter of higher inflation has pushed out the expected timing of rate cuts that would have eased refinancing. And the broader risk-off move is making it harder for managers to roll positions or find liquidity.For some, the clearest response is to step back. James St. Aubin, chief investment officer at Ocean Park Asset Management, said the market turmoil unleashed by the war has led his team to keep some money on the sidelines. \"We don't love being in cash, but if the market continues to decline, cash right now is one of the few safe havens,\" he said. \"Most people would assume Treasuries are a safe haven. In this environment, they might not be.\"Matt Maley, the chief market strategist at Miller Tabak, said investors were wrong to wave off the current risks as not being as severe as those seen ahead of previous market crises. The key difference, he said, is that the shocks are coming after a long-running bull market.“Too many people seem to think that as long as the oil shock isn’t as bad as the 1970s, the tech bubble is not as big as 2000, and the credit issues are not as large as 2008, then they are nothing to worry about,” he said. “That’s ridiculous. When the stock market is as expensive as it is today, it will take a much smaller predicament to create problems.”","kind":"news","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"}}}