Stagflation risks leave Australian market trailing global peers

The ongoing tumult in geopolitics has triggered wildly different responses across markets, with Wall Street soaring even as the local bourse slumps, and oil and bond traders brace for a protracted hit from the Iran war.

After hitting a wartime low on March 30, the S&P 500 has added a staggering 16.6 per cent, equating to more than $US10 trillion ($14 trillion) in market capitalisation. That’s as a stunning earnings season – driven by further gains in technology stocks – and a robust labour market continued to overshadow fears for a protracted war in the Middle East.

Source: https://www.afr.com/markets/equity-markets/stagflation-risks-leave-australian-market-trailing-global-peers-20260511-p5zvk7