08:05 AM EDT, 07/08/2026 (MT Newswires) -- Global stocks and bonds are selling off early Wednesday as renewed Middle East tensions drive oil and other commodity prices higher, according to Scotiabank Economics.

WTI crude has risen more than $5 per barrel since Tuesday, noted Scotiabank. Prices remain elevated versus early January levels, while an estimated 63 million barrels of crude remain stranded at sea, according to Bloomberg, amid limited clarity following the end of the oil export waiver by the U.S. amid an exchange of military strikes with Iran over the past 24 hours.

Europe has seen the largest impact, with bond yields up by double digits across markets, stated Scotiabank. Asia-Pacific moves have been more muted, while U.S. Treasury yields have risen around two basis points across most maturities.

Equity markets are broadly lower, with North American futures down around 1%, added the bank.

Canadian bond markets opened weaker, with yields up around five basis points across the curve, while overnight index swaps moved higher and upped the likelihood of a year-end Bank of Canada rate hike being priced in -- in line with Scotiabank's estimate.