IMF report says Middle East war spiked oil, lifting sovereign yields and cutting global equities 8% since February.
Hedge fund exposure to interest‑rate derivatives and sovereign bonds has more than doubled since 2020, reaching over $18 trillion by 2025.
The $3.5 trillion private‑credit market faces rising defaults, with firms like Blue Owl, Ares, Apollo, Blackstone and KKR limiting redemptions.
IMF urges policymakers to ready liquidity facilities and keep monetary policy focused on price stability amid inflation risks.