Macron's Military Move Sparks Market Turbulence Amid Dollar Strength and Oil Price Volatility

President Emmanuel Macron announced that France plans to deploy troops to Saudi Arabia to secure a refinery and crude oil pipeline at Yanbu on the Red Sea. This move comes as tensions escalate in the region, with the Iran war's effects spreading.

The markets are responding mixed to this development: global equities across Europe, Asia, the Pacific, and Latin America are below their earlier-year highs, while US indices have hit fresh records despite the Dow making a new low.

The US Dollar Index has rallied above 100, driven by rising Treasury yields and expectations of further Fed tightening. This has put pressure on precious metals, which are consolidating under this pressure.

Bitcoin has broken through its May high, but remains vulnerable to regulatory uncertainty and broader macroeconomic pressures. The cryptocurrency market is also affected by a recent hack at the Bitget exchange, where $350 million was stolen.