The last 24 hours were a game of two halves for equity markets – Europe and the US rallied as they celebrated the Middle East ceasefire and crude oil ended Wednesday 16% lower. But then the cracks in the terms of the ceasefire appeared – Israel attacked Lebanon, which Iran said breached the agreement, and Iran claimed that it has the right to enrich uranium, which the US says it does not. And so, oil rose again and Asian equity markets fell. Our Head of Next Generation Research, Carsten Menke, joins the podcast today to unravel the reaction of commodity markets to the ongoing situation. He explains how the ceasefire fits into a pattern in which extreme price spikes trigger both behavioural and political responses, and that markets respond in a monochrome fashion. Tune in to find out more about the possible shades of grey that need consideration.

• (00:00) - Introduction: Helen Freer, Product & Investment Content

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