U.

U.S.-Iran tensions escalate sharply, triggering global market sell-off. Military exchanges and confrontational rhetoric between Washington and Tehran have intensified significantly, with attacks on Middle Eastern energy infrastructure creating substantial supply risk concerns. Asian equities experienced the most acute losses due to regional economic exposure to energy markets. Central banks held rates steady last week but signaled hawkish stances on inflation risks and demand destruction concerns. The Federal Reserve adopted the least hawkish tone while the Bank of England emphasized urgency most strongly. Historical patterns indicate U.S. equities face greatest pressure during geopolitical crises when central banks maintain tight monetary policy despite deteriorating financial conditions.