Markets Awaits US Inflation Data Amid Escalating Geopolitical Tensions

Global markets are on edge as they await key US inflation data, which could signal a potential rate hike by the Federal Reserve. In anticipation of this news, oil and gold prices have climbed, with US crude rising 0.61% to $83.71 per barrel and Brent up 0.62% to $89.46 per barrel.

The yen has weakened against the dollar after Japan and the US intervened in currency markets. This has led to gains in regional shares, particularly in South Korea, where the Kospi surged 4% driven by technology stocks.

Geopolitical tensions are also on the rise as the US and Yemen's Iran-aligned Houthis have reported separate attacks on shipping. North Korea has launched a ballistic missile, just days before major joint military exercises between Seoul and Washington.