Global equity and commodity markets have experienced significant turbulence in March 2026, according to the latest market report from Exante, as the ongoing US-Israel-led conflict with Iran continues to shake investor confidence and stoke fears of entrenched inflation across major economies.
US equity indices have all posted negative month-to-date (MTD) figures, with the Dow Jones Industrial Average bearing the sharpest losses at -5.83% MTD, followed by the S&P 500 at -4.17%, the Russell 2000 at -3.65%, and the Nasdaq 100 at -3.19%, Exante said. European bourses fared little better, with the DAX shedding 9.20% MTD and the FTSE 100 falling 8.66% MTD. The MSCI World Index is down 6.10% MTD.
The conflict has sent oil prices sharply higher, with Brent crude futures climbing more than 40% MTD to reach $103.20 per barrel, while WTI crude is up 35.67% MTD at $91.29 per barrel. Price volatility in both benchmarks has reached levels unseen since April 2022. Energy equities have been the standout beneficiaries, with the S&P 500 Energy sector gaining 8.76% MTD, and names such as Apa Corp surging 36.06% and Marathon Petroleum rising 21.71% over the same period.
Exante’s report highlights that soaring energy costs are already feeding through to input price inflation across manufacturing and services sectors globally. The US Flash Composite PMI slipped to an 11-month low of 51.4 in March, whilst employment contracted for the first time in over a year as firms sought to manage overheads amid economic uncertainty. The US labour market had already shown signs of strain before the conflict began, with nonfarm payrolls falling 92,000 in February — well below consensus expectations.
Across the Atlantic, the eurozone is exhibiting stagflationary characteristics. Headline inflation edged up to 1.9% year-on-year in February, whilst the Flash Eurozone Composite PMI fell to 50.5 in March, a 10-month low. Consumer confidence plunged sharply, with the European Commission’s flash estimate dropping 4.0 percentage points to -16.3 in March.
The UK is contending with its own set of pressures, Exante stated. Headline CPI held at 3.0% annually in February, though the Bank of England has warned that inflation could climb to 3.5% in March as energy price rises flow through to consumers. Traders have now priced in at least two quarter-point rate increases before year-end, with the possibility of a third. The British pound has weakened 0.91% against the dollar MTD.
For more insights, read the full story here.
Copyright © 2026 FinTech Global
