ROI-Oil shock turbocharges Asia FX intervention risk: McGeever
Since the Iran War broke out, several Asian countries have intervened on the foreign exchange market to support their currencies. It's unlikely that they will be the last. Asia, which imports 60 % of its crude oil from Middle East, is most vulnerable to the energy shock caused by the Iran War. Brent crude prices have increased by 55% since the conflict began on February 28. Many Asian countries are now facing a dooms 'loop' of rising energy prices, imported inflation and demand destruction, as well as weakening currencies, which could spiral quickly if not stopped. The MSCI emerging markets currency index dropped 3% in march, its worst monthly performance since September 2022.
Russell: It's time for the world to stop delusions about the Iran Energy Crisis.
LAUNCESTON (Australia), April 7: The U.S.-Israeli war against Iran is characterized by miscalculations on the part of all parties involved, including those who are peripheral. But the real danger lies in the illusion about the magnitude of the energy crisis that will result. Any nation that thinks it or another?country can emerge from this conflict as "winners" is delusional. The conflict has now entered its sixth week. Even if there is a ceasefire in the next couple of weeks and vessel traffic resumes through the Strait?Hormuz, the energy crisis will still be a reality for the global economy.
Russia says Middle East conflict disruption creates new trade opportunities
The war in the Middle East has caused global supply disruptions, which have created new trade opportunities for Russia. However, price stability on the domestic market is still a top priority, said Russian Prime Minister Mikhail Mishustin. Many experts believe that Russia is one of the major economic beneficiaries of the conflict. It is the second largest oil exporter in the world, the biggest wheat exporter and a major producer and supplier of fertilisers. Mishustin said at a government gathering that the current economic situation in our country…
Glass Lewis urges a vote against BP chairman over climate resolution
Glass Lewis, a proxy adviser, recommended that BP share holders vote 'against' Albert Manifold who assumed the position in October. Citing BP’s decision to exclude a resolution related to climate change from its upcoming Annual Meeting, according to a notice seen by. Glass Lewis, a large shareholder advisory group whose recommendations can guide shareholder votes at annual general meetings, is not a common place to ask investors to vote contrary to the board. Glass Lewis' recommendation was based on BP’s?decision not to include a resolution from…
Eni, an Italian company, has discovered 2 trillion cubic feet (or 2 trillion cubic meters) of gas off the coast of Egypt
Eni announced on Tuesday that it had made a discovery of 'gas and condensate' offshore Egypt after drilling the Denise W-1 exploratory well in the Temsah Concession, located in the Eastern Mediterranean. According to preliminary estimates, there are approximately 2 trillion cubic feet (or barrels) of gas in place initially and 130 millions (or barrels) of condensate. Eni said that the discovery would help it to "support Egypt's goals of increasing gas reserves and?production". Egypt's domestic gas production has declined in recent years, and it is now?suffering? from the spillover effects of the Iran War, especially in the energy sector. The country depends on imported fuel.
Turkey's energy security is not a problem despite the war, but the situation is volatile
Turkish media reported that Energy Minister Alparslan. Bayraktar said on Tuesday, "Turkey is not facing any issues regarding energy supply security due to the Iran War but...the situation is volatile". "We hope that the?war?will not last much longer." Bayraktar said to reporters Monday night after a cabinet session that the process was under his control. "There are no problems or difficulties in the energy supply security." Turkey is a major energy importer and neighbours Iran. It is also one of the emerging market economies most exposed to the global energy prices jump.
EUROPE GAS - European gas prices are soaring as Trump's deadline for Iran approaches
The benchmark Dutch and British wholesale gas prices were in a tight range on Tuesday after the U.S. rejected the Pakistani-brokered U.S. proposal for an immediate 'ceasefire' and lifting of the effective blockade. Meanwhile, the U.S. was edging closer to its deadline of opening the Strait. ICE data showed that the benchmark Dutch front-month contract was $0.19 higher than before, at 50.24 Euro per megawatt hour (MWh) or $17.03/mmBtu by 0809 GMT. The British April contract rose 0.46 pence to 127.36 cents per therm. Trump stated on Monday that "the whole country could be destroyed in a single night…
Basra Oil Chief: Iraq could return oil exports within a week to the pre-war levels if Hormuz is reopened.
The head of Iraq's state-run Basra Oil Company has said that the country could resume crude oil exports in a week, provided the?Iran war ends and the Strait?Hormuz is reopened. A study found that Iraq, the largest Gulf oil producer, has seen the greatest drop in its oil revenues as a result the closure of the Strait. This is because Iraq lacks other shipping routes. The country can restore its output quickly to the levels it was before the U.S. and Israeli attacks on Iran, which occurred at the end of the month, led to the closure of the waterway. About a fifth (or more) of all global oil and LNG is transported through the Strait.
Singapore announces $780 Million Package to Cushion Impact of Middle East War
Singapore will provide a package of support worth S$1 billion ($780 millions), including cash and fuel vouchers to help 'offset the impact of the Middle East conflict on the economy, said Senior Minister?of State for finance Jeffrey?Siow. The'measures' are a response to the dramatic rise in fuel costs caused by the Iran conflict. Siow said that the package was more generous than the one put in place in 2022 after Russia invaded Ukraine. He said that the government was aware of the situation. The measures include cash giveaways to Singaporeans who qualify…
IEA chief says current oil and gas crises worse than 1973, 1978, 2002 combined
Fatih Binol, head of the International Energy Agency, told Le Figaro that the current oil and 'gas crisis triggered a by the 'blockade of Strait of Hormuz is?more serious compared to the corresponding?crises?in 1973 1979 2002". He said that the European countries as well as Japan, Australia, and other nations will'suffer. But the countries most at risk are developing nations who will suffer higher oil and gasoline prices, higher food costs, and a general increase in inflation. Last month, the IEA members agreed to release a part of their strategic reserve. Birol said that some of this had been released already and the?process is continuing.
Russell: It's time for the world to stop delusions about the Iran Energy Crisis.
LAUNCESTON (Australia), April 7: The U.S.-Israeli war against Iran is characterized by miscalculations on the part of all parties involved, including those who are peripheral. But the real danger lies in the illusion of the magnitude of the energy crisis that will result. Any nation that thinks it or another country can "win" the conflict is deluded. The conflict has now entered its sixth week. Even if a ceasefire is reached and vessel traffic resumes through the Strait of Hormuz within the next few weeks, the global economy will still be facing an energy crisis. To avoid making an already bad situation even worse, 'governments', 'corporations? and consumers?
Energy prices spiked ahead of the election, threatening Brazil's free gas for cooking program
Fuel?distributors and resellers?and analysts?warned, six months before a presidential elections?that rising energy prices could?scupper?a popular Brazilian program?that?provides?free cooking gas?to around 50 million people?. As he prepared to run for re-election in October, President Luiz inacio Lula launched his "People's Gas Program" as his main energy initiative in November. The U.S. and Israel war against Iran has pushed up the price of liquefied gas in Brazil. Lula was furious after a Petrobras auction drew premiums up to twice the reference price.
Energy prices spiked ahead of the election, threatening Brazil's free gas for cooking program
Fuel distributors and resellers warned that rising energy prices could end a popular Brazilian cooking gas program, which provides free gas to around 50 million people. This warning comes six months before a presidential election. As he prepared to run for re-election in October, President Luiz Inacio Lula launched his "People's Gas Program" as the flagship of his energy initiative. The U.S. and Israel war against Iran has pushed up the price of liquefied gas in Brazil. Lula was furious after a Petrobras auction drew premiums up to twice the reference price.
Basra Oil Chief: Iraq could return oil exports within a week to the pre-war levels if Hormuz is reopened.
BASRA (Iraq), April 6 - Iraq's crude oil exports could be restored to around 3.4m barrels per day in a week if the Iran War ends and the Strait of Hormuz is reopened, according to the head of Basra Oil Company, the state-run company of Iraq. A study found that Iraq suffered the largest drop in oil revenues among 'Gulf' oil producers due to the closure of the Strait. This is because Iraq lacks other shipping routes. The country is the second largest producer of oil in the Organization of Petroleum Exporting Countries. It can quickly return to the levels of production before the U.S. and Israeli attacks on Iran ended February, which led to the closure of the waterway.
Lee, South Korea's Lee, says the country must balance risks as disruptions to oil supply from Hormuz threatens the country.
South Korea must accept some risk when importing crude oil from Middle East due to the blockade of the Strait of Hormuz. This was the message of President Lee Jae Myung on Monday. In a cabinet discussion, Lee stated that there are few alternative routes and if the shipments were to be stopped altogether due to increased risk, this could have a severe impact on South Korea’s crude supply. It would also pose a significant risk to the general public. We?need a balance, and accept a degree of risk," Lee added. Ahn Do-geol, a lawmaker from the ruling Democratic Party…
Zelenskiy pledges increased security cooperation with Turkey in Istanbul
After meeting with his Turkish counterpart Tayyip Erdogan on Saturday in Istanbul, Ukraine's president Volodymyr Zelenskiy called for a?greater co-operation between the two countries. Kyiv is seeking to capitalize its wartime experience?on an international stage. Zelenskiy stated that he and the Turkish President had agreed on "new steps" to be taken in the security cooperation, and that the teams would finalise details soon. "This is especially true in the areas where we can help Turkey: expertise and technology," he wrote via Telegram. Erdogan told Zelenskiy that Turkey would support the negotiations between Ukraine Russia to end war.
India buys Iranian oil for the first time in seven years without any payment issues
The oil ministry announced on Saturday that Indian refiners had purchased Iranian oil?amid a Middle East conflict which has?disrupted supplies via the Strait of Hormuz. India, the world's third largest oil importer and user, hasn't received a shipment from Tehran since May 2019. This is due to U.S. pressure against buying Iranian crude. However, supply disruptions caused by the U.S. - Israel?war, have affected the South Asian nation severely. The oil ministry announced on X that "Indian refiners have secured crude oil supplies, including from Iran, despite Middle East supply disruptions.
ISS recommends voting against BP's decision to eliminate some climate reporting
According to a note seen by, influential proxy adviser Institutional 'Shareholder Services' (ISS) recommended a vote against BP board’s?move revoke previous climate reporting resolutions. Investors are rarely asked to vote against board wishes by large shareholder advisory groups like ISS. Their recommendations influence a significant portion of the votes cast at annual general meetings. BP's Board has?called on its 23rd April meeting to vote to repeal two resolutions?from 2019 and 2015 that required company-specific reporting. In its analysis of the recommendation…
US intelligence warns Iran is unlikely to ease its chokehold on the Hormuz Strait soon, according to sources
According to three sources familiar with the issue, recent U.S. Intelligence reports have warned that Iran is unlikely to open up the Strait of Hormuz anytime soon as its grip on this world's most important oil artery gives it the only leverage?it can exert over the United States. This finding indicates that Tehran may continue to throttle the "strait" to keep energy prices high in order to pressure U.S. president Donald Trump into finding a quick exit from the war, which has lasted for nearly five weeks and is unpopular among U.S. citizens. These reports are the latest evidence that the war intended to eliminate Iran's military might may have the opposite effect…
Turkish hydroelectric output reaches a peak of 40%, which eases war-related pressures on energy
Official data show that the power produced by Turkey's hydroelectric plants in 'March' nearly doubled compared to a year earlier, to 40%. Heavy rainfall also helped ease the pressure on one of Europe's biggest natural gas importers' energy bills. According to the market regulator EPDK, Turkey imported 16 billion cubic meters of natural gas last year, which is more than one-quarter. The largest part of Turkey's energy import bill last year was made up by natural gas and crude oil. The war in the Middle East has caused a price spike for natural gas and oil.