On Wednesday, risk appetite steadied as a softer dollar and a sharp pullback in oil prices encouraged markets to lean back into equities and crypto, despite the unresolved Middle East war, prompting investors to carefully rotate into growth while keeping a close watch on crude, gold, and the Fed.
Crypto
Crypto held its ground with total market capitalization at $2.53 trillion, down just 0.18%, while sentiment stayed balanced rather than bullish, with the Fear & Greed Index at 43, the Altcoin Season Index at 53/100, and the average crypto RSI at 56.71, a mix that points to a market still constructive but no longer stretched. Bitcoin traded at $74,092, up 0.22%, Ethereum rose 0.21% to $2,322.16, BNB added 0.87% to $674.45, while Solana slipped 0.47% to $94.18, suggesting major tokens are still doing the heavy lifting.
Spot bitcoin ETF demand stayed supportive, with total net inflows reaching a combined $632.9 million across March 12, 13, 16, and 17, while IBIT alone absorbed $452.3 million over the latest sessions, reinforcing the view that institutional buying remains firm rather than speculative.
Commodities
Oil lost some of its panic-based demand, with WTI at $93.86, down 2.24%, and Brent at $103.06, down 0.64%, as markets reacted to the agreement between Iraq and the Kurdistan region to resume exports through Turkey’s Ceyhan port. Even so, crude remains elevated versus recent ranges because the broader geopolitical scene has not eased, and the Strait of Hormuz risk still hangs over the market.
Gold traded at $4,989.89, down 0.33%, backing off recent highs as haven demand cooled slightly with oil retreating, while silver held near $79.36, broadly firm as investors continued to hedge against policy and war-driven volatility.
Stock Market Indices
On Wall Street, the S&P 500 rose 0.25% to 6,716.08, the Dow Jones Industrial Average gained 0.10% to 46,993.26, and the Nasdaq Composite added 0.47% to 22,479.53.
In Asia and Europe, the picture was mixed but not fragile: Nikkei 225 futures slipped 0.44% to 54,670, while the FTSE 100 added 0.57% to 10,428, reflecting a market that is still rewarding resilience but not ignoring geopolitical strain.
Geopolitics & Market Movers
On the diplomatic front, the main theme remained the U.S.-Israeli war with Iran and its effect on market risk, as resumed Iraqi-Kurdish export flows briefly eased crude and lifted risk appetite, though Iran’s latest comments on Hormuz and the lack of any meaningful de-escalation kept the broader risk premium in place.
On the economic front, attention turned to central banks as traders looked for clues on whether the Fed sees the oil shock as a bigger risk to inflation or growth, leaving the focus on the Fed’s policy outlook, Powell’s tone, and whether officials still signal room for cuts later this year or lean more hawkish.
