Stocks Drift Lower as Iran Escalates

MPC Markets Morning Call · Aug 31, 2026 · 10m

Wall Street edged lower in quiet Labor Day eve trade as US–Iran strikes resumed around the Strait of Hormuz, sending oil up ~3.5% and bond yields to multi-year highs globally. Markets now price a 64% chance of a September Fed rate hike after Warsh's hawkish Jackson Hole speech. Energy and cybersecurity names held up but the broader tape was red. We cover the oil breakout setup, global bond selloff, what to watch on the ASX today, and the big data week ahead — Aussie GDP Wednesday, US payrolls Friday. Plus: our latest Fixed Coupon Note (Northern Star, Fortescue, Harvey Norman) closes in 24…