Investors shrug off US sanctions plan for Iran, bitcoin powers on

Global financial markets experienced a respite on Tuesday as investors largely ignored US plans to broaden sanctions against Iran and focused instead on the upcoming earnings report from Nvidia, the world's most valuable company. US Treasury Secretary Scott Bessent had cautioned nations on Monday to sever their financial ties with Iran, or face secondary sanctions as part of a strategy dubbed "economic D-Day."

However, the Treasury Department did not formally implement penalties, which caused a slight decline in oil prices and U.S. government bond yields. European shares opened slightly higher, while the dollar edged up against the euro and the Japanese yen. The catalyst behind Bitcoin's surge past the $80,000 mark in the last 10 days was the strengthening of the U.S. dollar and rising bond yields, a development that traders closely watched due to its potential implications for the dollar's status.

Meanwhile, gold and German 10-year bond yields saw only minor fluctuations, while French 30-year yields remained near their 18-year high. Investors were eagerly awaiting Nvidia's earnings results, with analysts anticipating a near doubling of quarterly revenue and a wide range for full-year earnings guidance.