Oil Prices Climb as Tehran Shifts to Offensive Military Posture

The MSCI Asia-Pacific index managed a 0.8% gain, bolstered by South Korea’s strong post-holiday performance, even as Japan's Nikkei 225 edged downward. While U.S. e-mini futures remained stagnant, the debt market signaled deeper anxiety; 30-year U.S. Treasury yields hit historic highs, reflecting a flight from risk.

Analysts point to a lack of diplomatic intervention from the Trump administration as a primary driver of the current unease. This departure from previous patterns of de-escalation, combined with disappointing U.S. retail sales figures, has fueled a defensive market sentiment. With diplomatic channels largely silent, energy traders are pricing in a prolonged period of regional instability.