Conflict Drives Emerging Markets to Two-Week Low

Emerging market stocks and currencies hit a two-week low on Thursday as the ongoing Israel-Iran conflict pushed investors toward safer assets. The tension has led to increased demand for the dollar, causing declines in other global currencies.

Oil prices have surged amid escalating geopolitical tensions, with global stock markets facing pressure. The conflict intensified as Israel struck a key Iranian nuclear site following Iranian missile attacks on an Israeli hospital. The uncertainty remains about whether President Donald Trump will involve the U.S. in the conflict.

While most Middle Eastern markets have suffered losses, Israel's financial markets have demonstrated resilience. Conversely, Turkey's financial market faces volatility, with the lira's value dropping ahead of central bank policy announcements expected to maintain current rates.

(With inputs from agencies.)