Goldman Sachs Gauges Oil Price Impact on Asian Earnings

Goldman Sachs analyst Timothy Moe warns that rising oil prices from the Iran conflict may pressure corporate earnings across Asia in early 2026. The surge in oil costs could disproportionately affect energy-dependent sectors like manufacturing and transportation, squeezing profit margins regionally. Moe highlights potential investment opportunities in Asia’s defense sector amid heightened geopolitical tensions and increased military spending. Companies in South Korea, Japan, and India may benefit as governments prioritize defense modernization and domestic production. The analysis suggests investors should monitor oil price volatility and defense stock performance as key indicators for Asian markets this year.