WS #9276

The Israel-Iran conflict continues to escalate sharply, with multiple sources reporting new waves of Iranian ballistic missiles launched at Israel and sirens sounding across northern and central Israel. This represents an ESCALATION of the existing conflict, with direct missile attacks now ongoing. The KOSPI index in Seoul plunged 8.29% at close, its worst one-day drop since March 4, reflecting severe risk-off sentiment in Asian markets. A powerful M7.8-7.9 earthquake struck off Mindanao, Philippines, triggering tsunami warnings for coastal areas in the Philippines, Indonesia, and Malaysia. This natural disaster adds a new layer of risk to the region. Meanwhile, drone strikes hit the Sheskharis oil terminal in Novorossiysk, Russia, causing explosions and fire, further tightening global oil supply concerns. Oil prices are up 4% amid Strait of Hormuz disruptions and OPEC+ output increases seen as insufficient. The dominant narrative is ESCALATING geopolitical risk driving oil higher and risk-off across equities, with the new earthquake adding a humanitarian and economic shock.