Monday's Market Minute: Geopolitical Risk Back

Risk-off sentiment tied to geopolitical uncertainty concerns and tensions in the Middle East are the focus for investors and traders this morning. Global indices are lower for the second day after President Trump this weekend said he would consider sanctions on Iraq and threatened to attack 52 sites in Iran “very fast and very hard” if they retaliate for the killing of top general Qasem Soleimani.

Global markets sold off in reaction to the U.S. attack last week that targeted Soleimani, which has safe haven assets like Gold bid back to levels we haven’t seen since 2013. Overnight Crude WTI spiked to its highest since April, while the Brent overnight rose briefly back above $70 a barrel. This week in terms of economic releases to keep an eye on, we have some manufacturing data: international and wholesale trade figures, but the focus will be on the jobs reports.

First, it’s the ADP on Wednesday, Jobless Claims on Thursday, and then the more closely watched Non-farm Payrolls and wage data Friday. So fasten your seatbelts and tighten those chin straps because we could be in for another wild ride this week! I expect to see increased volatility and heightened participation.

Stay tuned to the TD Ameritrade Network for coverage of all the breaking news.

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