Global Markets in Flux Amid Geopolitical Strains

Global markets faced a tumultuous session on Wednesday, reflected in the muted performance of stocks and a pressured U.S. dollar. Investors are increasingly anxious about the fiscal health of major economies, compounded by stagnant trade negotiations.

Oil prices surged over 1%, driven by geopolitical concerns after reports emerged of Israel's potential strike on Iranian nuclear sites, elevating fears of supply disruptions in the Middle East. This comes amid heightened apprehension after the U.S. credit rating was downgraded by Moody's last week, further exacerbating fears about the nation's burgeoning debt.

Asian markets offered some solace, with rising indices and strong performances from safe-haven currencies. However, global uncertainty remains as investors await potential developments from the Group of Seven finance ministers' meetings in Canada, particularly concerning currency values and trade deliberations.

(With inputs from agencies.)