Daily market update: S&P 500 has increased, Asian and European markets, Intertek

Crisis, what crisis? In forging ahead to new all-time highs on Thursday night, the S&P 500 has now increased by $1.5 trillion in value since the Iran war began.

While other global indices aren’t quite as buoyant – Asian stocks largely easing back in their latest trading sessions and European shares starting Friday modestly lower – most of the falls in the initial stages of the conflict have been erased.

This is at odds with warnings of global recession and movements in the energy market which point to renewed inflationary pressures. Investors are looking past these challenges to pin their hopes on a peace agreement.

The stock market has proved resilient through several crises over the past decade or more and we are yet to see huge evidence of a negative impact on company earnings from the situation in the Middle East.

If a resolution can be found in the near term, then perhaps the market will have been right to see this as a blip rather than something which justifies a more significant derating of corporate valuations.

Only time will tell, though sooner rather than later there will need to be evidence of Donald Trump’s repeated claims that the war will be ending soon coming to fruition. The latest movements for shares in Europe and Asia suggest the market’s patience is not entirely Job-like.

In London, precious metals miners, utility firms, retailers and financials took a step back, while product testing outfit Intertek continued to tick higher after yesterday rejecting a £9.3 billion bid from Swedish private equity firm EQT.

Intertek looked vulnerable after being heavily punished for weak forecasts for two parts of its business, and it already announced plans for a strategic review and a potential break up of the group as it looks to restore its fortunes.