{"id":30180,"date":"2026-03-09T06:58:34","date_gmt":"2026-03-09T06:58:34","guid":{"rendered":"https:\/\/www.vtmarketsglobal.com\/en\/uncategorized\/30180\/"},"modified":"2026-03-09T06:58:34","modified_gmt":"2026-03-09T06:58:34","slug":"during-asian-trade-sp-500-futures-sank-nearly-2-5-as-middle-east-conflict-fears-lifted-oil-prices","status":"publish","type":"post","link":"https:\/\/www.vtmarketsglobal.com\/en\/live-updates\/30180\/","title":{"rendered":"During Asian trade, S&P 500 futures sank nearly 2.5% as Middle East conflict fears lifted oil prices"},"content":{"rendered":"S&P 500 futures fell close to 2.5% in the Asian session on Monday and opened with a bearish gap. The move was linked to fears that the Middle East conflict will keep oil prices high and weigh on global growth.\n\nThe US-Israeli campaign against Iran reached its tenth day, with no clear end in sight. Iran appointed Mojtaba Khamenei as Supreme Leader more than a week after Ayatollah Ali Khamenei was killed in US-Israeli strikes.\n\n

Oil Supply Risks<\/h3>\nTankers have avoided the Strait of Hormuz, raising concern about supply problems. Crude Oil prices have risen by over 25%, which has increased worries about energy-led inflation.\n\nHigher oil prices may add pressure for major central banks, including the US Federal Reserve, to keep policy tighter. Higher energy costs may also reduce economic activity and lower demand for riskier assets.\n\nMarkets are also watching for this week\u2019s US consumer inflation figures for clues on the Federal Reserve\u2019s rate-cut path. Geopolitical developments remain a main driver of wider market risk mood.\n\nWe remember how the market was shaken last year by the sudden escalation in the Middle East and the death of Ayatollah Khamenei. The S&P 500 reacted immediately with a sharp drop, as we saw oil prices surge in a way that reminded many of the 2022 energy crisis. This event set the stage for a year of heightened inflation and cautious central bank policy.\n\n

Market Conditions Now<\/h3>\nThe effects are still with us today, in March 2026. WTI crude oil has settled into a high range, currently trading around $95 a barrel, and the latest US consumer inflation report for February showed a stubbornly high 4.1% year-over-year increase. Because of this persistent inflation, the Federal Reserve has paused its rate-cutting cycle, keeping borrowing costs elevated for longer than anyone anticipated last year.\n\nThis persistent uncertainty is clearly reflected in the derivatives market. The CBOE Volatility Index, or VIX, has been trading in an elevated range, currently sitting at 24, well above the long-term average. This signals that traders are actively pricing in the risk of large, sudden market swings in the near future.\n\nFor traders, this means the cost of portfolio insurance remains high. Buying protective put options on major indices like the SPX is an expensive strategy, as the high implied volatility inflates option premiums across the board. The market is paying a premium for downside protection, reflecting the deep-seated fear of another geopolitical shock.\n\nThe tension has also fueled a flight to safety, strengthening the US dollar. The Dollar Index (DXY) is trading near multi-year highs, putting pressure on commodity prices and the earnings of multinational corporations. Meanwhile, government bond yields remain high as investors demand more compensation for inflation risk.\n\nIn the coming weeks, all eyes will be on the upcoming OPEC+ meeting at the end of the month. Any statements regarding production quotas or the stability of supply through the Strait of Hormuz will be a major catalyst for the market. We should also watch the next round of inflation data for any signs that price pressures are finally easing.\n\nCreate your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b>\n

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Start trading now – Click here<\/a> to create your real VT Markets account <\/strong> <\/p>\r\n","protected":false},"excerpt":{"rendered":"

S&P 500 futures slid 2.5% as Middle East conflict lifted oil, stoked inflation fears, pressured global growth.<\/p>\n","protected":false},"author":38,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[46],"tags":[],"class_list":["post-30180","post","type-post","status-publish","format-standard","hentry","category-live-updates"],"acf":[],"aioseo_notices":[],"featured_image_src":null,"featured_image_src_square":null,"author_info":{"display_name":"josephine","author_link":"https:\/\/www.vtmarketsglobal.com\/en\/author\/josephine\/"},"_links":{"self":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/30180","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/users\/38"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/comments?post=30180"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/30180\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/media?parent=30180"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/categories?post=30180"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/tags?post=30180"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}