Business sentiment is being shaped as much by geopolitics as by earnings. In the Gulf, the collapse of a brief ceasefire has reignited U.S.-Iran hostilities, with fresh Iranian attacks on regional partners, pressure on shipping through the Strait of Hormuz, and warnings from Tehran’s leadership that Washington will face “unforgettable lessons.” Markets will be watching closely for any disruption to energy flows after reported strikes in Kuwait, including on key infrastructure. Elsewhere, climate risk is back in view as Canada prepares an air evacuation of Fort Hope, while wildfire smoke spreads deep into the United States, underscoring the economic toll of extreme weather. Against that uneasy backdrop, Kotak Mahindra Bank offered a rare note of reassurance, posting strong quarterly profit growth on higher income and improving asset quality, suggesting parts of the banking sector remain resilient even as global uncertainty rises.