30 pm, a 1.5% drop from the previous day’s close.
Market analysts attribute the decline to the growing tensions in the Middle East, which are casting a shadow over the global economy. “It’s still too early to assess the potential economic impact of the escalating tensions in the region” said Andreas Lipkow, a market analyst. “The upcoming weekend and the potential effects of already rising oil prices on future inflation developments are currently clouding the market’s sentiment.”
Lipkow believes that the current market anxiety is largely driven by the fear of price increases, which would disrupt both interest rate scenarios and the overall economic outlook of investors. As a result, investors are taking profits across almost all sectors and branches, leading to a widespread sell-off.
The euro was weaker against the US dollar on Friday, with one euro equivalent to 1.1518 US dollars and one US dollar to 0.8682 euros. In contrast, the gold price benefited from the market’s uncertainty, rising by 0.9% to 3,418 US dollars per ounce, or 95.40 euros per gram.
The oil price, however, surged, with a barrel of Brent crude rising by 8.3% to 75.12 US dollars by 12 pm Central European Time.