US-Iran talks to end the Middle East conflict, scheduled for Friday in Switzerland, have been postponed. Vice President JD Vance cancelled his trip to Geneva, adding to uncertainty over a lasting truce. The war, which began in February, has caused significant casualties and economic disruption.
Planned follow-up talks between the U.S. and Iran in Switzerland were canceled due to logistical issues, casting uncertainty on the interim peace deal signed by Presidents Trump and Pezeshkian. Analysts caution it's an initial step, with 'sticky points' like Israel's campaign in Lebanon remaining.
The Bank of England governor warns of increased consumer costs due to the Middle East conflict, despite falling oil prices post-US-Iran peace deal. Interest rates remain at 3.75% as the MPC balances inflation risks with economic slowdown fears.
Iranian President Pezeshkian and US President Trump signed the Islamabad Memorandum of Understanding, a 14-point agreement to end the Middle East conflict. The deal includes a ceasefire, reopening of the Strait of Hormuz, and lifting of US sanctions on Iran, with further talks on the nuclear issue planned.
India is negotiating with the World Bank and ADB for approximately $2.5 billion in loans to fund urban infrastructure and job creation. This comes amid a wider budget gap due to increased subsidies for oil prices affected by Middle East conflict.
Tesco's UK sales growth slowed to 1.8% in Q1, down from 4.2% previously, citing "ongoing uncertainty for many households" due to the Middle East conflict and higher fuel prices. Despite the slowdown, online sales rose 8.9%, and group sales were up 1% to £16.8bn. The retailer expects to meet annual profit expectations.
Tesco CEO Ken Murphy stated that rainy spring weather significantly impacted UK grocery sales more than the World Cup or Middle East conflict. Sales growth slowed to 1.8% in Q1, below expectations, with sunshine boosting consumer spending and football wins causing only temporary, smaller sales spikes.
China's CNPC calls for strengthened maritime security and emergency response capabilities, citing the fragility of global chokepoints like the Strait of Hormuz. Disruptions have driven up prices and inflation, with US inflation reaching 4.2% in May.
Dubai's property market has seen a dramatic slowdown, with sales falling significantly in May compared to April and last year. Market watchers attribute the decline to the ongoing conflict in the Middle East, impacting high-earner and luxury real estate sectors.
Crisil reports Indian airlines' operating profits may drop 10-15% this fiscal due to high ATF prices, airspace restrictions, and rupee depreciation amid the Middle East conflict, despite potential easing in fuel prices.
Lebanese President Michel Aoun asserts Lebanon's negotiation path is independent, seeks ceasefire, and welcomes international aid, including from Iran, while warning against interference in Lebanese affairs.
UK inflation held steady at 2.8% in May, defying expectations of a rise. This suggests the Middle East conflict's impact on living costs may be less severe than feared, despite high fuel prices. Economists are downgrading inflation forecasts and questioning future interest rate hikes.
Escalating Middle East conflict renews focus on energy security and logistics, accelerating global transition to renewables as nations diversify from fossil fuels and chokepoint reliance.
The International Energy Agency (IEA) predicts a 1.1 million bpd drop in global oil demand in 2026 due to the Middle East conflict, revising its May forecast downwards. Demand fell sharply in April-May, with recovery expected in Q4 2024.
European Central Bank board member Gabriel Makhlouf warned that a temporary agreement to end the Middle East conflict might not immediately end the global energy shock, potentially prolonging inflationary pressures due to energy infrastructure damage. Meanwhile, the US Federal Reserve begins a new phase under Kevin Warsh, with expectations of holding interest rates steady amid rising inflation and a strengthening labor market.
UK inflation remained unexpectedly at 2.8% in May, defying economists' forecasts of a rise to 3%. Higher transport and fuel costs were offset by slower food price rises, according to the ONS.
UK inflation remained unexpectedly at 2.8% in May, defying economists' forecasts of a rise to 3%. The flatlining figure, following April's decline, comes despite the Middle East conflict driving up energy prices. The Bank of England is expected to hold interest rates steady.
UK inflation remained unexpectedly at 2.8% in May, with higher transport and fuel costs offset by slower food price rises. The ONS figure defied economists' forecasts of a rise to 3% and comes as the Bank of England prepares to set interest rates.
UK inflation remained unexpectedly at 2.8% in May, with higher transport and fuel costs offset by slower food price rises, according to the ONS. Economists had forecast a rise to 3%, but the flatlining figure defied expectations.
The US and Iran have signed a memorandum of understanding to cease their war, with a ceasefire in place for 60 days to negotiate details. Iranian funds frozen by the US will be released in phases, with sanctions potentially lifted if Iran reduces enriched uranium. The deal aims to signal a new era for Iran in the international community, but underlying issues of the conflict, including Iran's nuclear program and regional proxies, remain unresolved.
The US and Iran have signed a memorandum of understanding to cease their war, with a ceasefire in place for 60 days to negotiate details. Iranian funds frozen by the US will be released in phases, and sanctions may be partially lifted if Iran allows retrieval of enriched uranium. This deal follows a pattern by Donald Trump of prioritizing deal signing over details, with many underlying issues in the Middle East remaining unresolved.
Australian PM Anthony Albanese indicated openness to extending the temporary fuel excise cut, citing ongoing Middle East conflict impacts. A peace deal between the US and Iran to reopen the Strait of Hormuz was welcomed, but normal oil trade is expected to take months.
Australia's Prime Minister Anthony Albanese indicated the government may extend the temporary fuel excise cut to ease motorist costs, influenced by the Middle East conflict and a new peace deal between the US and Iran. The cut, initially set to end June 30, is being re-evaluated.
India faces economic vulnerability due to the US-Iran conflict, impacting its focus on Fuel, Fertiliser, and Forex. Rising global prices for oil and fertilisers strain finances, while a falling rupee pressures foreign exchange reserves. Experts debate structural risks and policy responses.
