Bloomberg Surveillance 3/11/2026
Speakers
Summary
- Global markets are grappling with a severe geopolitical energy shock as disruptions in the Strait of Hormuz have pushed Brent crude above $90 per barrel, effectively removing over 15 million barrels a day of supply from the region.
- The IEA is proposing an unprecedented release of 300 to 400 million barrels of strategic oil reserves to combat the deficit. However, commodity experts warn that physical flow constraints (max 2.5 million barrels/day) mean the release will only partially offset the massive supply loss.
- US CPI data came in line with expectations (Headline +0.3% MoM, Core +0.2% MoM), but economists warn this data precedes the recent oil spike. The energy shock is expected to push future headline inflation higher, severely complicating the Federal Reserve's ability to cut interest rates.
- A structural macro shift is underway, transitioning from an "asset-light" tech boom to an "asset-heavy" physical economy. Strategists are advising a rotation out of expensive US mega-cap growth stocks and into hard assets, commodities, defensive value sectors, and international equities.
