Investor Caution Amid Geopolitical Tensions and Economic Shifts

U.S. stocks opened unchanged on Tuesday amid geopolitical and economic tensions. The Korean won hit a two-year low following martial law declaration and crude oil prices surged due to OPEC+ concerns. European shares were volatile due to French political instability. Investors eye Federal Reserve rate cuts as dollar weakens.

In light of ongoing geopolitical tensions and economic changes, U.S. stocks experienced a muted start on Tuesday. With a focus on tight labor market data, the three major U.S. stock indexes showed slight declines, most notably the Dow Jones Industrial Average.

Global markets were rocked by South Korea's won plummeting to a two-year low against the dollar after President Yoon Suk Yeol's declaration of martial law. Concurrently, crude oil prices surged due to OPEC+ supply concerns and Middle Eastern tensions exacerbated by regional conflicts.

In Europe, shares experienced gains led by bank stocks, though political turmoil in France curbed overall investor confidence. The dollar weakened against a basket of world currencies as anticipation grew for a Federal Reserve interest rate cut, influenced by the latest Job Openings and Labor Turnover Survey (JOLTS) report.

(With inputs from agencies.)