The U.S. imposed higher tariffs on goods from 60 trading partners as military tensions involving Iran escalated in the Middle East, driving investors toward safe-haven assets. The Dow Jones Industrial Average edged up while the Nasdaq Composite fell, and Europe’s STOXX 600 rebounded slightly. U.S. Treasury yields climbed to multidecade highs as markets priced in the possibility of a Federal Reserve rate hike.

Fresh attacks on Black Sea shipping and ports have intensified disruption risks for grain exports, with Ukrainian President Volodymyr Zelenskiy warning that Russia is stepping up attacks on merchant vessels. Wheat climbed to a two-year high, soybeans hit a two-year peak and corn rose to its highest level in more than a year. Switzerland-based Allseeds has suspended operations in Ukraine, citing threats to port infrastructure. The renewed strain on a key global export corridor has sharpened concerns over global food inflation.

Zambia will hold a presidential election on August 13, with incumbent President Hakainde Hichilema widely expected to secure a second term. Investors are focused on whether a new program with the International Monetary Fund can be agreed to, marking a shift from post-restructuring crisis management toward growth. Copper remains the backbone of the economy, generating 70% of export earnings, with expansion tied to foreign investment follow-through, improved power supply and domestic procurement rules. The vote itself is not seen as an immediate market catalyst, but it reinforces the longer-term narrative around growth in copper supply.

Russia has temporarily barred vessels from entering or leaving the Black Sea port of Novorossiysk at night due to the threat of Ukrainian drone attacks. The port, which handles nearly one-third of Russia’s grain exports, is currently operating only during daytime hours and no formal notice has been issued. The move has raised concerns over a sudden supply-chain disruption that could affect global wheat export expectations. Euronext September wheat futures rose 4.5% after the news of the nighttime restriction.

U.S.-Iran mediation efforts eased upward pressure on crude prices, pushing Brent down from a one-month high. European technology stocks rose 0.9%, led by sharp gains in ASML and ASMI. Concerns over energy supplies lingered as Yemen's Houthis maintained a blockade of Saudi Arabia.

Donald Trump signed a new proclamation on Monday adjusting U.S. tariffs on imported aluminum to support domestic primary aluminum production. The proclamation says U.S. primary aluminum capacity currently cannot meet national demand, and the change is intended to reduce reliance on foreign supply. The move represents a substantive trade-policy intervention that can directly affect pricing along the aluminum supply chain and the incentives to produce.

Portugal has signed an agreement with Italy to buy three frigates from shipbuilder Fincantieri in a deal worth €3 billion. The two countries’ prime ministers announced the transaction in Rome, presenting it as a move to strengthen Europe’s strategic autonomy in defense. Following the announcement, Fincantieri shares rose more than 2% in after-hours trading.

U.S. stocks opened lower on Friday, with the Nasdaq Composite down 1.81%, the S&P 500 off 1.14%, and the Dow Jones Industrial Average lower by 0.24%. Markets are reassessing this year’s AI-driven rally, weighing on chip shares. Netflix issued a weak forecast, deepening concerns about lofty valuations in technology stocks. That outlook served as the immediate trigger for the latest pullback.

Russia’s military said it attacked 24 Ukrainian military vessels in the Black Sea and the Sea of Azov over the past week. The strikes included 14 dry cargo ships, three ferries and two container ships. The waterways are a key corridor for global grain exports, and the escalation has driven a noticeable rise in global wheat prices.