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CommSec Market Update

Morning Report 20 Apr 26: Rocky open expected amid Iran uncertainty

19 Apr 2026

Transcription

Transcript generated automatically by AI and may contain errors.

Chapter 1: What is the main topic discussed in this episode?

2.613 - 4.015 Unknown

a listener production.

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6.438 - 23.44 James Gruber

We emerge from another weekend with no certainty on the US-Iran war. So it could be a rocky start to the week for markets. Good morning, I'm James Gruber. And I'm Gillian Bowen. It's Monday the 20th of April and this is the morning edition of the ComSec Market Update.

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Chapter 2: What is the current uncertainty surrounding the US-Iran conflict?

23.572 - 44.765 Gillian Bowen

So it's the start of a new week and the status of the Middle East war is again as clear as mud. As usual, we look to social media to see the latest from Donald Trump. He's recently posted that US representatives would arrive in Pakistan on Monday evening for negotiations, again threatening new strikes unless Iran accepts his terms.

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45.265 - 66.133 Gillian Bowen

While Iran's state news agency has reported Sunday night their time, that Iran has rejected new peace talks with the US, with the ongoing naval blockade being among the reasons. Now, the two-week ceasefire was announced on April 8, so they've got about a day to make progress before that ends.

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66.113 - 92.644 James Gruber

A reminder too that a second ceasefire is also in effect, the one between Lebanon and Israel. And when markets were last opened, so Friday US time, investors were reacting to reports that the Strait of Hormuz was open for passage while that ceasefire was in place and also on hopes of a US-Iran peace deal. So oil prices plunged, Wall Street indices scaled record highs and US treasuries surged.

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92.624 - 97.654 James Gruber

but any suggestion of transit through the key maritime route didn't last long.

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97.674 - 117.388 Gillian Bowen

So US futures open shortly, and it'll be interesting to see the reaction to what's unfolded over the weekend after markets closed. As for the Aussie share market, the ASX 200 futures when they were last trading, were pointing to a 0.9% gain at the open this morning off the back of Wall Street's rally.

117.689 - 132.89 Gillian Bowen

But that was before the Strait of Hormuz was closed again and this latest uncertainty on the Middle East conflict. On Friday, as a reminder, the ASX 200 snapped a three-week winning streak. down 0.15% for the week.

133.491 - 157.859 James Gruber

Gil, let's take a look at commodities. And oil again was the big story. Global oil prices plunged on Friday after the Strait of Hormuz was temporarily declared opened before it closed again on the weekend. Brent crude futures settled down 9.1% to 90.3%. US dollars a barrel, while NYMEX crude was 11.4% lower to 83.85 US dollars a barrel.

158.44 - 184.165 James Gruber

Obviously, given the weekend's events, oil prices may quickly reverse today. Base metal prices were mixed on Friday. Copper futures climbed 0.6% on Peace Deal Optimism, but aluminium futures were down 1.4% on easing supply concerns. Gold futures extended gains on Friday, supported by a weaker dollar. The futures settled up 1.5% to US$4,879 an ounce.

184.606 - 191.295 James Gruber

Meanwhile, iron ore futures were little changed, down 0.2% to US$106.85.

Chapter 3: How are market reactions influenced by geopolitical developments?

471.341 - 478.491 James Gruber

In fact, the average return has been 19% over the following 12 months. So there's something for the optimists out there.

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479.517 - 494.353 Gillian Bowen

I'm an optimist. Thanks, James. That's it for today. Our team is monitoring developments on today's local trading session. So please join Stephen Daglian and Laura Bezzarati for the ComSec Market Update podcast this afternoon. I'm Gillian Bowen. And I'm James Gruber. Have a great day.

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500.172 - 518.738 Unknown

This podcast is prepared, approved and distributed in Australia by Commonwealth Securities Limited, ABN 60067254399, AFSL 238814. The information does not take into consideration your objectives, financial situation or needs. Consider the appropriateness of the information before acting and if necessary, seek appropriate professional advice.

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