Daily brief
US inflation has jumped to a two-year high of 3.3% as the conflict in Iran disrupts global oil supplies through the Strait of Hormuz, pushing up oil prices and eroding American consumer confidence. The International Monetary Fund warns of lasting economic damage from the war, while consumer sentiment has plummeted to a record low. Analysts say the oil shock will flip the market to a deficit in 2026.
President Donald Trump has criticized Iran for allegedly charging tolls for oil tanker passage through the Strait of Hormuz, a move Italian Prime Minister Giorgia Meloni warned could disrupt global trade.
China is banning sulfuric acid exports as the Iran war hits supply, while Chinese refiners are buying Iranian crude at a premium above Brent prices for the first time in years.
London is set to host a meeting next week on reopening the Strait of Hormuz, as a fragile truce brings brief relief to African markets and European stocks are seen as losers in the Iran war fallout.