Market Update March 2026
3 March 2026US and Israel military action against Iran – Operation Epic Fury
Over the weekend, the US launched Operation Epic Fury in conjunction with Israel.
The actions may destabilise the region and cause volatility in financial markets in the near-term.
As at the market close (Monday, 3 March) US share markets remained relatively unchanged. The S&P 500 index rose 0.04%, the Dow Jones Industrials -0.15%, and the NASDAQ +0.36%.
The Australian share market closed unchanged on Monday, but today (at the time of writing) is down 1.4% driven by falls in the Materials, Consumer, and Property sectors.
The oil price has risen by more than 7% since the attack as Iran has shut down shipping through the Strait of Hormuz which is the conduit for a significant amount of the world’s oil supply. Gold has also risen 1.5%.
During periods of crisis, it is common to see short-term market volatility. Examples of recent periods of volatility include changes to global US trade policy (Liberation Day – Trump tariffs), Israel’s conflict with Hamas, and the Russia – Ukraine war.
History shows that in times of uncertainty, we can expect share markets to be volatile. However, this shouldn’t change your long-term investment strategy, typically 10+ years.
Your investments are continually monitored
Funds SA, as the investment manager of your superannuation, continually monitors geopolitical and global events to consider how these may impact investment performance across each investment option. Their investment process provides flexibility to take advantage of short-term market dislocations to generate consistent long-term returns.
Most Super SA investment options are well-diversified which means you are not 100% invested in one asset class, for example Australian shares. Instead, depending on which investment option you chose, you are invested in several asset classes including Australian and global shares, fixed income, infrastructure, private markets and alternative assets.
A well-diversified investment portfolio aims to meet its investment and risk objectives (which you can find in the relevant Product Disclosure Statement) over the long-term, despite any short-term market volatility. In times of crisis, where some asset classes may fall in value, others may perform well, providing a counterbalance to enable the long-term investment objective to be achieved.
Timing the market is high risk. Superannuation is a long-term investment with an investment horizon of 10+ years. History suggests that over the long-term, markets typically move higher. We encourage members to focus on long-term goals before making any decisions.
Read our article on navigating market volatility for more information.
The information in the article above has been prepared in good faith by Funds SA. However, Funds SA does not warrant the accuracy of the information and to the extent permitted by law, disclaims responsibility for any loss or damage of any nature whatsoever which may be suffered by any person directly or indirectly through relying upon it whether that loss or damage is caused by any fault or negligence of Funds SA or otherwise. The information is not intended to constitute advice and persons should seek professional advice before relying on the information.
The superannuation schemes administered by Super SA are exempt public sector superannuation schemes and are not regulated by the Australian Securities and Investments Commission (ASIC) or the Australian Prudential Regulation Authority (APRA). Super SA is not required to hold an Australian Financial Services Licence to provide general advice about a Super SA product. The information on this website is of a general nature only and has been prepared without taking into account your objectives, financial situation, or needs. Super SA recommends that before making any decisions about its products you consider the appropriateness of this information in the context of your own objectives, financial situation, and needs, read the relevant Product Disclosure Statement (PDS), and seek financial advice from a licensed financial adviser in relation to your financial position and requirements.