Oil crisis, Flash PMIs, and consequences of the RBA rate increase

Market Recap and Outlook

The previous week proved to be as eventful as anticipated. The Reserve Bank of Australia raised interest rates, while the US Federal Reserve opted to keep theirs unchanged. Before markets could fully digest these developments, news broke of an Israeli strike on Iran’s South Pars gas field, adding further volatility.

Looking ahead, although there are fewer central bank announcements on the horizon, the coming days could be equally significant for financial markets. Preliminary Purchasing Managers’ Index (PMI) data will provide an early indication of whether the ongoing conflict is beginning to impact business sentiment. Domestically, Australia’s February Consumer Price Index (CPI) will be a key factor influencing the RBA’s upcoming policy decisions. Meanwhile, oil prices continue to be a major driver of global market trends, with Brent crude briefly surpassing $110 per barrel following the recent geopolitical tensions.