**MARKET BRIEF: Geopolitical Tensions Rattle Risk Assets** **Global Markets & Geopolitics** Escalating tensions between the US and **Iran**—sparked by the downing of an Iranian drone and threats to Strait of Hormuz shipping—have triggered a flight to safety. Risk assets are under heavy pressure, while traditional safe havens and energy commodities surge. **Equities & Crypto Markets** US equities and cryptocurrencies have decoupled from their "digital gold" narrative, failing to hedge against geopolitical instability. * **S&P 500:** Trading downward around **6,917**, pulling back from recent record highs as uncertainty grips Wall Street. * **Bitcoin:** The leading asset has plunged to approximately **$76,350**, now sitting roughly **40%** below its all-time high of **$126,000**. * **Market Sentiment:** The "Crypto Fear & Greed Index" has collapsed to **20**, signaling **Extreme Fear**. The broader crypto selloff has wiped out billions in value, with major liquidation events exceeding **$2.5 billion** recently. **Commodities Performance** In stark contrast to risk assets, commodities are rallying on fear and potential supply disruptions. * **Gold:** Continues to shine as a primary hedge, rebounding to trade near **₹16,053 per gram** (approx. global equivalents holding strong), following a record-breaking rally in January. * **Oil:** WTI crude has climbed to **$63.82** and Brent to **$67.85** per barrel, driven by fears of Middle East supply constraints. **Key Takeaway** Investors are aggressively rotating capital out of tech and crypto into tangible defensive assets like gold and oil. The correlation between Bitcoin and equities remains tight during crisis events, challenging the thesis of crypto as a non-correlated store of value.