Geopolitical Tensions Propel Market Volatility: Gold and Oil Surge Amid Russia-Ukraine Crisis

The ongoing Russia-Ukraine crisis has heightened market volatility, driving up haven assets like gold and oil, while the euro tumbles under economic pressures. The conflict has spurr... European gas prices and concerns over oil supply disruptions amid military escalations.

Gold, oil, and haven assets from the Swiss franc to German government securities marked significant weekly increments on Friday, following the intensifying Russia-Ukraine conflict. In contrast, the euro faced downward pressure due to soaring European gas prices and bleak economic indicators, taking a hit just as tensions escalated.

The euro plummeted to its lowest since December 2022, reaching $1.0432, reflecting deteriorating business activity in the eurozone. Meanwhile, Brent crude futures climbed 0.5% to $74.60 a barrel amid fears of disruption to oil supplies as Russia retaliated against Western countries' involvement in Ukraine.

Geopolitical concerns continued to drive market dynamics, with the U.S. dollar index reaching a 13-month high, and gold rising by 1% to $2,688 an ounce. On the equity front, the ongoing reassessment of artificial intelligence titan Nvidia's prospects weighed on global stock performances.

(With inputs from agencies.)